The world’s finest innovator, Elon Musk, has a new tech-baby, and the investing families have congregated with $6 billion for the baby shower: “Elon Musk’s Artificial Intelligence (AI) startup xAI, has secured $6 billion in the latest series B funding round, to reach a post-money valuation of $24 billion. The funding round saw participation from investors such as Valor Equity Partners, Vy Capital, Andersen Horowitz, Sequoia Capital, Fidelity, Prince Alwaleed Bin Talal, and Kingdom Holding, amongst others.”
xAL joins SpaceX, Boring, Tesla, DeepMind*, OpenAI*, X (Twitter), and other category-king properties, in Musk’s expanding tech empire. Good People, when great entrepreneurs emerge, the world is transformed. Elon Musk has served his world.
Hello Microsoft/OpenAI and Google, a new player is here and it has a truckload of money. May the best product win.
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That said, xAI will likely fuse with the old Twitter (now X). And when he combines both entities, Musk could get a valuation of $100 billion in 2027 when I expect him to take what used to be called Twitter back to the public market.
The investors in this round possibly invested because X will provide the feedstock to feed xAL. The Twitter deal looks like a great idea now since data is very important to run an AI business. Musk would not have gone this xAI path easily without X. Indeed, the gods have truly organized the galaxies for Musk!
Elon Musk’s xAI says it has raised $6 billion in its latest fundraising round, thanks to big-name investors including Andreessen Horowitz and Sequoia Capital. The fresh infusion of cash brings the year-old company’s valuation up to about $24 billion — and boosts its position in the growing artificial-intelligence arms race. Musk admitted recently that xAI “still has a lot of catching up to do” if it’s going to compete with more established names such as OpenAI — which he helped found nearly a decade ago — and Google.
xAI says the new funding will be used “to take xAI’s first products to market, build advanced infrastructure, and accelerate the research and development of future technologies.”
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