The feud between Elon Musk and Bill Gates is one of the most public rivalries in tech history. What began as a disagreement over electric vehicles has evolved into a multi-front conflict spanning climate change, artificial intelligence, and the very future of technology. The Macrohard announcement represents the latest - and perhaps most pointed - chapter in this ongoing saga.
The Tesla Short: Where It All Began
The origins of the Musk-Gates rivalry trace back to a financial decision that Musk took personally. Bill Gates held a significant short position on Tesla stock - essentially betting that Tesla's value would decline. For Musk, this wasn't just a financial disagreement; it was a philosophical betrayal.
Gates has been a prominent advocate for climate action through the Gates Foundation and his book "How to Avoid a Climate Disaster." Yet he was simultaneously betting against the most successful electric vehicle company in the world. Musk saw this as hypocritical at best, and actively harmful at worst.
When confronted about the short position, Gates confirmed it was real. This confirmation transformed what might have been a rumor into a documented fact, cementing the foundation of their public conflict.
Early Sparring: 2020-2021
The public phase of their rivalry began heating up in 2020 and 2021. Musk took to Twitter to mock Gates on various occasions, often with characteristic bluntness. Topics ranged from Gates' understanding of electric vehicles to his views on technology and climate solutions.
Gates, for his part, maintained a more diplomatic public stance while occasionally offering what could be interpreted as backhanded comments about Tesla and Musk's various ventures. The contrast in communication styles - Musk's aggressive social media presence versus Gates' measured public relations approach - became part of the story itself.
The First "Macrohard" Tweet: 2021
In 2021, Musk posted what seemed like a throwaway joke: "Macrohard >> Microsoft." The post was widely interpreted as trolling - Musk taking a shot at Gates by suggesting that a company with the opposite name would be superior. Few took it seriously at the time.
In retrospect, this tweet appears to have planted a seed. The joke resonated enough that Musk would return to it four years later with serious intent. What seemed like casual mockery was perhaps an early indication of a more substantial plan.
The AI Divergence: OpenAI and Beyond
The rivalry took on new dimensions with the rise of artificial intelligence as a dominant tech battleground. Both Musk and Microsoft (Gates' legacy company) had significant stakes in AI development, but their paths diverged dramatically.
Musk was a co-founder of OpenAI, the organization that would eventually create ChatGPT and GPT-4. However, he departed from OpenAI's board, later citing disagreements about the organization's direction. OpenAI subsequently partnered with Microsoft, which invested billions of dollars and integrated OpenAI's technology into its products.
This created an ironic situation: a company Musk helped create became closely aligned with his rival's company. Musk's frustration with this outcome was palpable in his public statements, and it motivated his creation of xAI as a competitor.
xAI: Musk's AI Countermove
In 2023, Musk founded xAI with the stated goal of understanding the true nature of the universe. More practically, xAI developed Grok, an AI assistant integrated with X (formerly Twitter). This positioned Musk as a direct competitor to both OpenAI and the Microsoft-OpenAI partnership.
The creation of xAI represented a significant escalation. Musk wasn't just criticizing Gates and Microsoft from the sidelines - he was building competing infrastructure. The Colossus supercomputer project in Memphis would give xAI the computational resources to challenge established AI leaders.
Public Exchanges: 2022-2024
Throughout this period, Musk continued to take public shots at Gates. Topics included Gates' alleged lack of understanding about AI risks, his continued short position on Tesla, and broader philosophical disagreements about technology's role in society.
Musk shared screenshots of text message conversations with Gates, publicly mocking what he portrayed as Gates' attempts to discuss climate philanthropy while maintaining his Tesla short position. These disclosures were unusual even by Musk's standards and indicated the depth of his frustration.
The 2024 Microsoft Outage
In July 2024, a global IT outage affected Microsoft systems worldwide, causing widespread disruption. Musk seized the opportunity to mock Microsoft's reliability, recalling his 2021 "Macrohard" joke. For those paying attention, it was a hint of things to come.
The outage provided ammunition for Musk's broader argument that traditional software companies were vulnerable and potentially obsolete. This message would become central to the Macrohard concept announced the following year.
August 2025: Macrohard Becomes Real
The Macrohard announcement in August 2025 represented the culmination of years of rivalry. By creating a company literally named as the opposite of Microsoft, Musk transformed his trolling into a business venture.
The trademark filing on August 1, followed by Musk's public announcement on August 22, demonstrated that this wasn't another offhand joke. xAI had invested real resources - filing fees, legal work, and presumably significant development effort - into making Macrohard a reality.
The name choice was deliberate provocation. Musk could have named his AI software venture anything. By choosing Macrohard, he ensured that every mention of the company would evoke Microsoft and, by extension, Bill Gates.
The Philosophical Divide
Beyond personal animosity, the Musk-Gates rivalry reflects genuine philosophical differences about technology and its development. Gates represents a traditional approach: large corporations, incremental improvement, integration with existing systems. Musk advocates for disruption: new companies, radical innovation, replacement of established players.
Their views on AI safety also diverge. While both have expressed concerns about AI risks, their proposed solutions differ. Musk has advocated for regulatory oversight and founded xAI with stated goals of developing AI that is "maximally beneficial for humanity." Gates has focused on practical applications and partnerships with existing tech infrastructure.
What the Rivalry Means for Tech
The Musk-Gates rivalry matters beyond entertainment value because it shapes the direction of the technology industry. Musk's competitive pressure has pushed discussions about electric vehicles, space exploration, and now AI software development. His willingness to challenge established players creates market dynamics that benefit consumers and drive innovation.
Whether Macrohard succeeds or fails, its existence forces Microsoft and other software companies to consider how AI might transform their industry. The rivalry, however personal its origins, produces real technological and business consequences.
Looking Forward
As of late 2025, the Musk-Gates rivalry shows no signs of cooling. Macrohard represents Musk's most direct challenge to Gates' legacy, and Microsoft's continued AI investments ensure the competitive landscape remains active. The coming years will determine whether Musk's vision of AI-only software companies proves viable or remains an ambitious experiment.