Elon Musk’s AI startup xAI has raised $6 billion in Series B funding, reaching a post-money valuation of $24 billion as investors bet big on challengers to companies like OpenAI in the intensifying AI race.
The funding round was backed by investors including Andreessen Horowitz and Sequoia Capital, the company announced in a blog post on Sunday.
Musk noted in a post on X that the company’s pre-money valuation was $18 billion.
The funds will be used to bring xAI’s first products to market, build advanced infrastructure, and accelerate research and development of future technologies, xAI stated.
“There will be more to announce in the coming weeks,” Musk added in another X post following the funding announcement.
Companies like Microsoft-backed OpenAI and Alphabet are leading the fierce race for generative AI dominance, driving significant investments and innovation in this rapidly evolving field.
Source: Reuters
