Elon Musk's artificial intelligence (AI) startup, xAI, is in talks with investors for a funding round that could value the company at around US$40 billion. This was reported by the Wall Street Journal on Tuesday, October 29, 2024. The discussions are still in the early stages, so terms could change or talks could be called off.
Previously, xAI raised $6 billion in a Series B funding round in May, with a post-investment valuation of $24 billion. Investors included Andreessen Horowitz and Sequoia Capital. Musk launched xAI in July 2023 as an alternative to OpenAI's ChatGPT.
In March 2024, xAI announced plans to open- source its ChatGPT competitor “Grok,” giving the public a chance to experiment with the technology. The move is in line with other companies, such as Meta and Mistral in France, which also have open-source AI models.
Other big companies, like Microsoft-backed OpenAI and Alphabet’s Google, are leading the charge in the fierce generative AI race. OpenAI raised $6.6 billion in funding in early October 2024, which could value the company at as much as $157 billion.
Post a Comment