Elon Musk's xAI seeks $1 billion investment via equity offering

Updated : Dec 06, 2023 14:29
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Editorji News Desk

Elon Musk's artificial intelligence based startup xAI has submitted paperwork to the US securities authority aiming to gather up to $1 billion through an equity offering. As per a filing  in the Securities and Exchange Commission on Tuesday, the company has secured $134.7 million in equity financing from a total offering pool of $1 billion.

AI startup funding

This year has been promising for AI startups, especially after Sam Altman's OpenAI released ChatGPT and managed to get $10 billion backing from Microsoft. Elon Musk has been outspoken about his vision for crafting safer AI, as regulators have been expressing their concerns about the potential misuse of AI in spreading false information.

During a Twitter Spaces event earlier this year, he emphasized xAI's intent to foster a "maximally curious" AI rather than directly programming moral guidelines into its systems. Musk introduced xAI in July as a "maximum truth-seeking AI" to compete with Google's Bard and Microsoft's Bing AI.

Recently xAI rolled out "Grok," a chatbot challenging OpenAI's ChatGPT. As per Musk, the AI startup will be incorporated into his social media platform, X, and will also be available as a standalone application in November 

Elon Musk

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