Elon MuskArtificial intelligence startup x.AI is reported to close a funding round at a valuation of around $18 billion later this week. Citing people familiar with the matter, the Bloomberg report shows that the size of the investment round has not yet been determined.
The report points out that while final details such as pricing and timeline are still being negotiated, x.AI – Musk’s AI competitor to OpenAI – is receiving robust investor interest.
The pitch deck used to attract investors highlights Musk’s past successes Tesla and SpaceX, along with the benefit of training xAI on high-quality data from Musk’s social network X (formerly Twitter).
Access to massive amounts of data is crucial to creating powerful AI chatbots, an area where xAI aims to challenge established players such as OpenAI.
Musk’s AI startup raised $6 billion in a funding round
Last month, it was reported that xAI was raising $6 billion from participants such as Sequoia Capital, at an initial valuation of $18 billion. The transaction is expected to close within the next few weeks, assuming conditions remain unchanged.
The conditions have already been changed once. Recently, Jared Birchall, who runs Musk’s family office, offered potential investors the opportunity to invest $3 billion in xAI at an initial valuation of $15 billion. Due to the great interest of investors, these data have been corrected.
“We all got an email that basically said, ‘Now it’s $6 billion of $18 billion and let’s not complain because a lot of other people want to do it,'” TechCrunch quoted the source as saying.
Investors who have been urging people to join the deal for months are reportedly not concerned about the change. The financing round includes Sequoia Capital and Future Ventures, a venture capital firm co-founded by Steve Jurvetson, a longtime friend of Musk.
The report points out that while final details such as pricing and timeline are still being negotiated, x.AI – Musk’s AI competitor to OpenAI – is receiving robust investor interest.
The pitch deck used to attract investors highlights Musk’s past successes Tesla and SpaceX, along with the benefit of training xAI on high-quality data from Musk’s social network X (formerly Twitter).
Access to massive amounts of data is crucial to creating powerful AI chatbots, an area where xAI aims to challenge established players such as OpenAI.
Musk’s AI startup raised $6 billion in a funding round
Last month, it was reported that xAI was raising $6 billion from participants such as Sequoia Capital, at an initial valuation of $18 billion. The transaction is expected to close within the next few weeks, assuming conditions remain unchanged.
The conditions have already been changed once. Recently, Jared Birchall, who runs Musk’s family office, offered potential investors the opportunity to invest $3 billion in xAI at an initial valuation of $15 billion. Due to the great interest of investors, these data have been corrected.
“We all got an email that basically said, ‘Now it’s $6 billion of $18 billion and let’s not complain because a lot of other people want to do it,'” TechCrunch quoted the source as saying.
Investors who have been urging people to join the deal for months are reportedly not concerned about the change. The financing round includes Sequoia Capital and Future Ventures, a venture capital firm co-founded by Steve Jurvetson, a longtime friend of Musk.
