According to the Wall Street Journal, citing people familiar with the matter, Elon.Musk (Elon Musk)'s artificial intelligence startup xA Discussions with investors are underwayFinancingMatters. The funding round amounts to $3 billion (currently around Rs. 21.72 billion), which will value XAI at $18 billion (currently around Rs. 130.32 billion).
According to the report, investors considering participating in xAI's financing include venture capital firm Gigafund, co-founded in July 2017 by Stephen Oskoui and Luke Nosek, who co-founded PayPal, and investor Steve Jurvetson, co-founder of another venture capital firm, Future Ventures. Jurvetson is a co-founder of another venture capital firm, Future Ventures.
It's worth noting that both Gigafund and Jurvetson have strong ties to Musk's companies, having previously invested in SpaceX, Tesla, the Boring Company and Neuralink, among others.
The WSJ report also notes that the exact terms of xAI's financing have not yet been finalized and that plans are subject to change.
The funding round marks a further heating up of the competition between giants in the AI space, with companies such as XAI, Amazon-backed Anthropic and Microsoft-backed OpenAI vying for supremacy in the space.
Last week, Amazon announced an additional $2.75 billion investment in Anthropic, bringing its total investment in the generative AI company to $4 billion. Meanwhile, Microsoft has committed more than $13 billion to OpenAI.