Elon Musk’s AI startup, xAI, has raised $6 billion in Series B funding, reaching a post-money valuation of $24 billion as investors place significant bets on challengers to companies like OpenAI in the escalating AI competition. The funding round was supported by investors including Andreessen Horowitz and Sequoia Capital, the company announced in a blog post on Sunday.
xAI stated that the funds will be used to launch its initial products, develop advanced infrastructure, and accelerate research and development of future technologies. “There will be more to announce in the coming weeks,” Musk mentioned in a subsequent post on X, following the funding announcement.
Companies such as Microsoft-backed OpenAI and Alphabet are among those leading the fierce race for generative AI dominance, driving substantial investments and innovation in this rapidly evolving field.
