Elon Musk’s xAI says it has raised $6 billion to develop artificial intelligence

xAI, a company led by Elon Musk, has secured $6 billion in funding from a group of investors. The Series B funding will be used to bring xAI’s first products to market and accelerate research efforts. Over the past year, xAI has made significant progress in developing artificial intelligence technology, and this momentum will continue in the coming months. Investors in this round include Andreessen Horowitz, Sequoia Capital, Fidelity Management & Research, Valor Equity Partners, Vy Capital, Saudi Prince Alwaleed Bin Talal, and Kingdom Holding. Prior to this investment, xAI had a valuation of $18 billion, according to Musk. This funding will enable xAI to compete with Microsoft and Open AI in the race to develop artificial intelligence, with the latter having created Chat GPT.
In July of the previous year, Musk made the announcement about the establishment of the company and followed up with the release of its artificial intelligence chatbot, Grok, in November.