Elon Musk raises $6 billion for his AI startup xAI
May 27, 2024 - fastcompany.com
Elon Musk's AI startup, xAI, has raised $6 billion in a series B funding round, reaching a post-money valuation of $24 billion. The funding was backed by investors such as Andreessen Horowitz and Sequoia Capital, and will be used to bring xAI’s first products to market, build advanced infrastructure, and accelerate research and development of future technologies.
The company is seen as a strong challenger to other AI companies like OpenAI and Alphabet in the intensifying AI race. Musk has hinted at more announcements in the coming weeks. The pre-money valuation of the company was $18 billion.
Key takeaways:
Elon Musk's AI startup xAI has raised $6 billion in series B funding, reaching a post-money valuation of $24 billion.
The funding round was backed by investors including Andreessen Horowitz and Sequoia Capital.
The money will be used to take xAI’s first products to market, build advanced infrastructure, and accelerate research and development of future technologies.
Companies like Microsoft-backed OpenAI and Alphabet are among those leading the fierce race for generative AI dominance.
