Tesla might invest $5 billion in AI firm xAI

Tesla could invest upto $5 billion in Artificial Intelligence (AI) firm xAI suggested a new poll on social media site X by the company’s CEO, Elon Musk.

“Should Tesla invest $5B into xAI, assuming the valuation is set by several credible outside investors?” Musk wrote.

He also mentioned that the poll would be to observe the investor response. However, it will require approval by the Tesla board and shareholders in the upcoming voting to become a reality.

xAI Grok (Source – X)

This AI company was founded by Musk in July 2023 and launched its first Large Language Model (LLM) – Grok in November. The company has integrated Grok into the X social media site for premium users.

In May this year, xAI raised $6 billion in a series B funding to develop better architecture and advance existing products. The company recently began training the largest supercomputer with thousands of AI training chips.