The Financial Times reports that xAI is seeking to secure more capital as Musk aims to refocus on his business ventures, which have been affected by his political engagements. Tesla's shares reached a six-month low in early March, and X has faced several prolonged outages. Additionally, xAI has consistently failed to meet its deadlines for upgrading its flagship AI model, Grok.
Key takeaways:
- Elon Musk's AI startup, xAI, is launching a $300 million share sale valuing the company at $113 billion.
- The share sale follows xAI's acquisition of Musk's social media platform, X, for $33 billion.
- The tender offer will allow staff to sell shares to new investors and is expected to precede a larger investment round.
- xAI is seeking additional cash as it faces challenges, including missed deadlines for its AI model Grok and issues with Musk's other ventures.