Elon Musk’s artificial intelligence startup xAI has raised $6 billion in series B funding, valuing the company at $24 billion as competition intensifies in the AI space.
Investors in the round included Valor Equity Partners, Vy Capital, Andreessen Horowitz, Sequoia Capital, Fidelity Management & Research Company, Prince Alwaleed Bin Talal and Kingdom Holding, the company said in a blog post on Sunday.
The funds raised will be used to bring xAI’s first products to market, build advanced infrastructure, and accelerate the research and development of future technologies, it said.
xAI had a pre-money valuation of $18 billion, Musk said in a post on social media platform X.
Apologies for my typo, pre-money was $18B
— Elon Musk (@elonmusk) May 27, 2024
The startup is developing a chatbot called Grok to rival Microsoft-backed OpenAI’s ChatGPT and Alphabet’s Gemini.
Its stated mission is to develop advanced IA systems that are “truthful, competent, and maximally beneficial for all of humanity.”