Elon Musk's AI firm xAI has raised $6 billion in a Series C funding round, drawing substantial support from major investors such as BlackRock, Andreessen Horowitz, Fidelity, and Morgan Stanley.
xAI Valuation Reaches $50B
The funding round was led by NVIDIA and AMD, enhancing xAI's efforts in scaling its infrastructure. The investments will support the company's generative AI model development. Previous rounds saw participation from all existing investors, underlining their confidence in Musk's AI vision.
Launch of Grok 3 to Compete with GPT-5
Since raising funds last May 2024, xAI has launched the Colossus supercomputer, Grok 2, and an image generation model Aurora. Grok 3, the company's most ambitious AI model yet, aims to compete with GPT-5 by enhancing natural language understanding, coding, and image generation capacities, set to launch by year-end.
Infrastructure Expansion for Grok 3
xAI plans to expand its infrastructure to support 200,000 GPUs for Grok 3, with a vision of reaching 300,000 GPUs in the future. These investments ensure growing market competitiveness, backed by leading investors and tech giants, positioning xAI for further success.
The newly raised funds solidify xAI's stance in AI development. NVIDIA and AMD's continued infrastructure investment supports xAI's groundbreaking innovations. Grok 3's launch is set to push the envelope in AI advancements.
