Elon Musk's AI startup, xAI, has secured $6 billion in its series B funding, bringing its post-money valuation to $24 billion.
As per Reuters, the funding round, announced on Sunday, saw backing from investors such as Andreessen Horowitz and Sequoia Capital, as per the company's blog post.
Musk, who established xAI in July last year, wrote on X (formerly Twitter) that there would be "more to announce in the coming weeks," and that the startup had a valuation of $18 billion before receiving the new funding.
In its own statement, xAI outlined that the new money would be used to take the firm’s "first products to market, build advanced infrastructure, and accelerate the research and development of future technologies."
xAI aims to become a key player in the competitive field of generative AI, challenging giants like OpenAI and Alphabet.
However, Musk's involvement with OpenAI, from which he stepped down as chairman six years ago, adds an interesting dynamic to the race.
Moreover, one of xAI's notable projects is "Grok," an AI-powered chatbot designed for users of X, a social media platform owned by Musk.
The startup has been actively developing Grok, enhancing its capabilities in long context understanding and image processing.
