xAI raising $6bn to buy 100k Nvidia chips
Sources say xAI is raising up to $6 billion – $5 billion expected from sovereign funds in the Middle East and $1 billion from other investors – at a $50 billion valuation. The money will be used to acquire 100,000 Nvidia chips. Tesla’s Full Self Driving is expected to rely on the Memphis supercomputer.
Musk seeks £5bn xAI funding at $45bn valuation
Musk’s xAI is in early talks with new and existing investors for fresh capital to compete with OpenAI and other AI competitors. Musk has reportedly approached investors in Qatar and Saudi Arabia, with a potential valuation of $45bn, as well as existing investors inclusing Sequoia Capital and Valor Equity Partners, which is expected to lead the round.
Musk announces formation of xAI
Musk announces the formation of a company called xAI. The startup is geared toward artificial intelligence and employs several engineers who have worked for companies like Google, Microsoft, and OpenAI. Along with the amount of funding it has, xAI’s specific objectives are unclear, as is exactly what it will focus on regarding AI. The company’s website says its goal “is to understand the true nature of the universe,” but adds that more information will be forthcoming “over the next couple of weeks and months.” Musk:
Announcing formation of @xAI to understand reality
Announcing formation of @xAI to understand reality
— Elon Musk (@elonmusk) July 12, 2023