Investors placed large bets on rivals to OpenAI and other businesses in the growing AI race. As a result, Elon Musk’s AI startup xAI raised $6 billion in round B fundraising, achieving a post-money valuation of $24 billion.
Investors backing the investment round included Sequoia Capital and Andreessen Horowitz, the business announced in a blog post on Sunday.
In an X post, Musk stated that the company’s pre-money valuation was $18 billion.
xAI will use the funds to construct cutting-edge infrastructure and launch the company’s initial products. Additionally, they plan to accelerate the creation of new technologies.
In reaction to the investment announcement, Musk stated in another X post, “There will be more to announce in the coming weeks.”
Businesses like Alphabet and Microsoft-backed OpenAI are leading the intense competition for generative AI supremacy. They are propelling large investments and innovation in this quickly changing field.
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