xAI secures $6 billion in series B funding to advance AI models

Artificial intelligence firm xAI has announced that it secured $6 billion in a series B funding round. This is a new development that aims to strengthen the company for future development of its AI products.

This $6 billion investment coming from Valor Equity Partners, Vy Capital, Andreessen Horowitz, Sequoia Capital, Fidelity Management & Research Company, Prince Alwaleed Bin Talal, and Kingdom Holding.

xAI was established in July 2023 and introduced its first generative AI chatbot named Grok in November. This product competes in the category of OpenAI’s ChatGPT and Google’s Gemini. It is integrated into social media site X and offers services under its paid Premium tier.

To improve Grok’s capabilities, xAI introduced version 1.5 update with improved reasoning and long context to comprehend the context. The model also gained the ability to understand images and screenshots for visual data processing with Grok 1.5 Vision. Grok-1 also went open-source earlier this year and provided weight to the open-source community.

This new funding will be used to advance Grok and other upcoming products and bring them to more users. The fund will also help xAI improve the AI infrastructure and boast research and development for the next generation of AI models.

The AI company said it will make significant progress in the coming months and new technology updates and products will be announced soon.

(source)