Elon Musk's AI company, xAI, has secured $6 billion in a Series C funding round, increasing its valuation to $45 billion – nearly double its previous valuation.
Key investors in this round included Andreessen Horowitz, BlackRock, Fidelity, Nvidia, AMD, and Saudi Arabia's Public Investment Fund, which contributed $400 million, bringing xAI's total funding to $12 billion after raising an additional $6 billion in a previous Series B round in May.
The latest round was limited to past supporters and investors of xAI following Musk's acquisition of Twitter, with some granted access to up to 25% of xAI's shares.
According to the company’s press release, the funding will be used to develop xAI's infrastructure, accelerate research and development, and deliver new products for consumers and businesses.
It is noteworthy that xAI was founded last year, focusing on creating advanced generative AI models, with its flagship model, Grok, powering several features on the X platform (formerly Twitter), including an accessible chat program for X Premium subscribers and free users in specific geographic areas.
Grok is described by Elon Musk as a "rebellious line" that answers unconventional questions often avoided by other traditional AI systems like ChatGPT.
