The American startup XAI Holdings, controlled by Elon Musk, is negotiating with investors to raise $20 billion for a newly created AI startup. This is reported by foreign media.
In case of successful fundraising, the value of xAI will exceed $120 billion. At the same time, the raised $20 billion can be used to pay off debts incurred as a result of Elon Musk's acquisition of the Twitter social network and its renaming to X. Debt obligations pose a problem for X, as they require $200 million in maintenance costs. The company's annual interest expenses exceeded $1.3 billion by the end of 2024.
The volume of the new round of financing demonstrates investors' interest in AI companies. Despite the fall in shares of Tesla Inc., the value of the rest of Musk's companies continues to grow. In particular, SpaceX became the most expensive startup in history, with an estimated value of $350 billion in 2024.
In May 2024, xAI raised $6 billion in an investment round from Andreessen Horowitz, Sequoia Capital, and Valor Equity Partners, which are planned to be used to launch new digital products and conduct research in the field of "future technologies."
XAI Holdings was established in March 2025 as part of the merger of the social network X Corp., the developer of the X platform, and the AI startup xAI, owned by I. Mask.
X. AI Corp. (xAI) is an American startup in the field of AI infrastructure, founded by I. Musk in 2023. xAI's flagship product is the Grok chatbot.
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