Elon Musk’s AI startup, xAI, has just raised a whopping $6 billion in funding from top investors like Valor Equity Partners, Andreessen Horowitz, and Sequoia Capital.
This massive investment values the company at $18 billion, making it one of the largest deals in the AI space.
Musk, who’s known for his passion for AI, has been building xAI over the past year. The company’s goal is to create “truthful” AI systems, a stark contrast to what Musk claims is happening at other companies like OpenAI and Google, which he accuses of bias and secrecy.
xAI is pleased to announce..https://t.co/uu0ioPgS8V
— xAI (@xai) May 27, 2024
xAI has already made waves with its chatbot, Grok, which rivals popular AI models like ChatGPT. The company has released several versions of Grok, with the latest one showcasing impressive multimodal capabilities.
However, some users have reported that Grok’s news summary feature can generate misleading information.
Despite this, Musk is confident in xAI’s mission and plans to use the new funding to take its products to market, build advanced infrastructure, and accelerate research and development.
The company is also likely to partner with other companies to bring Grok to a wider audience beyond its social network, X.
With this massive investment, xAI is poised to become a major player in the AI space, and it will be interesting to see how it competes with other giants like OpenAI, Microsoft, and Google.