Elon Musk Intends to Raise $1 Billion for His Next Project

Elon Musk is looking forward to raise $1billion for xAI, seeking this amount to finance his project. What's behind the Elon Musk xAI funding?

Elon Musk is looking forward to raise $1billion for his artificial intelligence company xAI, and the man in charge of tesla, X, and spaceX is seeking this amount in order to finance his project. So, what’s behind this new Elon Musk xAI funding?

A recent SEC filing reveals that Elon Musk has secured approximately $135 million from four undisclosed investors. The initial sale of the company’s stock occurred on November 29. To meet his goal, Musk now needs to gather an additional $865 million.

The filing stated that Elon Musk is the Executive and Director of xAI. It also included Jared Birchall on the list of Executives, former Goldman Sachs, Merrill Lynch and Morgan Stanley executive.

xAI is currently working on the development of an AI chatbot Grok. This is considered as a competitor to ChatGPT of OpenAI and Bard of Google.

Grok’s website describes it as having a bold and unconventional personality, distinguishing itself by tackling stimulating questions that other AI chatbots typically avoid. The product, still in its early stages with just two months of development, is anticipated to launch soon in a beta version exclusively for its + X Premium subscribers.

The AI chatbot has the advantage of pulling real-time information from X to power some of its responses, update its knowledge and improve its responses.

The filing with the Securities and Exchange Commission shows that the minimum acceptable investment from any external investor is $2 million.

“The issuer entered into a binding and enforceable agreement to purchase the total remaining amount to be sold and sold,” the company said in the filing.

Elon Musk is a founding member of OpenAI, although he resigned in 2018 from the Board of Directors.

Musk recently voiced criticisms towards OpenAI, particularly following the company’s decision to dismiss and then reinstate its CEO, Sam Altman, in November. This move caused a notable stir and raised concerns within the AI community.

Despite the sizable challenge of raising $865 million, Musk, recognized as a formidable force in the tech world, is well positioned to meet this goal. However, the success of this endeavor hinges on whether potential investors have confidence in his leadership approach at the X platform.

Inside Telecom provides you with an extensive list of content covering all aspects of the tech industry. Keep an eye on our Intelligent Tech sections to stay informed and up-to-date with our daily articles.