Meanwhile, SpaceX, Musk's aerospace company, plans to launch a tender offer next month to sell existing shares at about $135 each, which would value the company at $250 billion, up from $210 billion earlier this year. This would make it worth more than Bytedance, the company behind TikTok. Both startups are likely to benefit from Musk’s relationship with President-elect Donald Trump, who recently appointed Musk to an advisory board to recommend ways to cut regulations and federal spending.
Key takeaways:
- Elon Musk's artificial intelligence startup, xAI, is reportedly raising up to $6 billion at a $50 billion valuation, with $5 billion expected from Middle Eastern sovereign funds and the remainder from domestic investors.
- The new funds raised by xAI are expected to be used for the acquisition of 100,000 Nvidia chips and to expand its Colossus supercomputer in Memphis, Tennessee.
- SpaceX, Musk's aerospace company, is planning to launch a tender offer next month to sell existing shares at about $135 each, which would value the company at $250 billion, up from $210 billion earlier this year.
- Both xAI and SpaceX are likely to benefit from Musk's close relationship with President-elect Donald Trump, who has appointed Musk to an advisory board to recommend ways to cut regulations and federal spending.