Elon Musk’s xAI raises $6 billion to fund its race against ChatGPT and all the rest

Elon Musk's xAI raises $6 billion, aiming to surpass ChatGPT with new AI tech.

: Elon Musk's AI company xAI has secured $6 billion in funding to develop and market its AI products, including the advanced Grok chatbot. Planning to build a supercomputer by 2025, xAI received investments from notable entities like Andreessen Horowitz and Saudi Prince Al Waleed bin Talal. Musk is also involved in legal actions against OpenAI, alleging deviation from its original humanitarian mission.

Elon Musk's xAI, established last summer, announced a significant $6 billion funding boost intended to accelerate the development and marketing of its AI initiatives, notably the Grok chatbot, an advanced version of ChatGPT. The chatbot, which offers enhanced capabilities, is currently exclusive to X Premium subscribers on the platform formerly known as Twitter. Investors in this round of funding include major firms and personalities such as Andreessen Horowitz, Sequoia Capital, and Saudi Prince Al Waleed bin Talal.

Amidst a competitive AI landscape where companies like Google, Amazon, and Microsoft are heavily investing in AI technologies, xAI aims to construct a high-capacity AI supercomputer. Scheduled for completion by fall 2025, the supercomputer requires substantial resources, including 100,000 of Nvidia’s H100 chips. This infrastructure is critical for advancing xAI's version of Grok, and positioning xAI as a frontrunner in the AI technology race.

In addition to his focus on xAI, Elon Musk has been vocal about his discontent with OpenAI, the company he helped found, asserting that it has strayed from its original mission to prioritize human benefit. Musk's ongoing legal battle with OpenAI underscores his broader strategy to influence the AI sector independently of his work with Tesla, where he is negotiating control over AI and robotics projects. This strategic pivot to xAI reflects Musk's enduring commitment to pioneering cutting-edge technologies.

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