Elon Musk’s artificial intelligence company, xAI, is in talks with investors for a new funding round of around $10 billion. It’s reported that this round could elevate the company’s valuation to approximately $75 billion. Musk had claimed that the upcoming chatbot called Grok 3 outperformed previous artificial intelligence models on the market.

xAI, Elon Musk’s artificial intelligence company, is engaging with potential investors for an investment round of about $10 billion.

This round could potentially boost the company’s valuation to around $75 billion. According to a knowledgeable source, investment discussions are ongoing.

Current investors like Sequoia Capital, Andreessen Horowitz, and Valor Equity Partners are in talks to participate in this funding round.

However, the financing terms are not finalized yet and are subject to change.

Previously, New York Post had reported that xAI could reach a valuation of $75 billion.

VALUED AT $51 BILLION IN DECEMBER

Recently, xAI has been rapidly gathering billions of dollars in funding.

According to PitchBook data, the company’s most recent valuation was at $51 billion. In December, the company announced the completion of a $6 billion Series C funding round. Previously in May, it had secured a $6 billion fund as well.

OFFERED $97.4 BILLION TO OPENAI

The company is operating as a competitor to OpenAI, of which Musk is a founder. Musk recently made an unexpected offer to acquire the assets of the non-profit organization controlling OpenAI for $97.4 billion. The main product of xAI, a chatbot called Grok, is utilized through Musk’s social media platform X (previously known as Twitter).

MUSK: GROK 3 OUTPERFORMS ITS COMPETITORS

Musk claimed that the upcoming chatbot Grok 3 has shown better performance than other artificial intelligence models introduced so far. Musk mentioned that the model will be unveiled to the public in a few weeks. Additionally, it was reported that xAI is in discussions to acquire server assets worth over $5 billion from Dell Technologies.