Elon Musk is reportedly seeking an investment from Tesla Inc (NASDAQ:TSLA) in his AI startup xAI.
Musk plans to hold a shareholder vote at Tesla to decide whether the electric vehicle maker should invest in xAI, the company behind the Grok chatbot, which has already been integrated in beta form into Tesla vehicles.
“If it was up to me, Tesla would have invested in xAI long ago,” Musk posted on his social media platform X on Sunday evening. “We will have a shareholder vote on the matter.”
SpaceX, another Musk company, has already committed about $2 billion to xAI, aiming to grow its valuation to around $200 billion to compete with OpenAI, which is valued at about $300 billion.
The shareholder vote is expected to take place at Tesla's annual meeting on November 6, 2025.
Shares of Tesla traded up 0.2% at about $314 at midday on Monday. The stock is down 22% in the year to date amid several challenges, including slowing production growth, rising EV competition, and concerns about Musk’s political ambitions.