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Report: Elon Musk’s xAI seeking up to $6B from investors at $20B valuation - SiliconANGLE

Jan 26, 2024 - siliconangle.com
Elon Musk's artificial intelligence startup, xAI Corp, is reportedly seeking to raise up to $6 billion from investors, potentially closing the deal at a valuation of $20 billion. The company, which was launched last June to compete with OpenAI in the large language model market, has developed a chatbot called Grok that can answer user questions, generate code, and perform related tasks. The chatbot was developed using JAX, an open-source AI framework from Google, and runs in a Kubernetes-powered software container environment.

In the future, xAI plans to equip Grok with support for formal verification, a mathematical technique used to ensure the reliability of a system. This will be used to ensure the reliability of the code Grok generates. The company is not the only generative AI provider seeking funding, with reports indicating that Sierra, a newly launched AI startup, is close to securing a $85 million funding round at a $1 billion valuation, and Anthropic PBC is seeking to raise $750 million in fresh funding, potentially valuing the large language model developer at up to $18.4 billion.

Key takeaways:

  • Elon Musk's AI startup, xAI Corp, is reportedly seeking to raise up to $6 billion from investors, potentially closing the deal at a valuation of $20 billion.
  • The company has developed a chatbot called Grok, which can answer user questions, generate code, and perform related tasks. It was created using JAX, an open-source AI framework from Google.
  • xAI plans to equip Grok with support for formal verification, a mathematical technique used to ensure the reliability of a system, to ensure the reliability of the code it generates.
  • Other AI companies, such as Sierra and Anthropic PBC, are also reportedly in talks to raise significant funding, indicating a strong investor interest in the AI sector.
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