In September, xAI launched its Colossus 100k H100 training cluster, which Musk claimed to be the most powerful AI training system in the world. The company aims to double its size in the coming months. Venture capital firm Menlo Ventures reported that enterprise spending on generative AI has increased sixfold this year, indicating a shift from experimentation to implementation of the technology in business strategies.
Key takeaways:
- Elon Musk's AI startup xAI has raised $5 billion in a funding round, bringing its total funding for the year to $11 billion and valuing the company at $50 billion.
- The company plans to use the new funds to add another 100,000 Nvidia chips for training its AI models.
- xAI launched its Colossus 100k H100 training cluster in September, which is touted as the most powerful AI training system in the world.
- Enterprise spending on generative AI has increased sixfold this year, from $2.3 billion in 2023 to $13.8 billion in 2024, according to venture capital firm Menlo Ventures.