Under the wave of generative artificial intelligence investment, xAI, an artificial intelligence company under Musk, has seen its valuation soar to a record high of $20 billion.
According to recent media reports, xAI, Musk's artificial intelligence company that competes with OpenAI, has completed a $500 million first round of financing, taking a big step towards its ambitious $1 billion financing goal. The post-investment valuation is expected to reach $15 billion to $20 billion.
Insiders told the media that investors providing funds for xAI include investment giants such as Larry Ellison, Saudi Prince Alwaleed bin Talal, as well as well-known investment institutions such as Sequoia Capital, Andreessen Horowitz, and Fidelity Management and Research.
In November last year, Musk stated that the equity investors of xAI would own 25% of the company. Reports suggest that Musk and the investors are expected to finalize the terms in the coming weeks.
The report was quickly &#34;debunked&#34; when Musk responded on Twitter, calling it fake news. However, he did not specify which aspect was inaccurate.
In July last year, Musk announced the official establishment of xAI, directly competing with OpenAI. As one of the co-founders of OpenAI, Musk had previously invested $100 million in the company, but later claimed that he left OpenAI due to conflicts of interest. Over the past year, he has criticized OpenAI for not being &#34;open&#34; enough and becoming a commercial company backed by Microsoft, which goes against his original investment intention.
In November last year, xAI released its first AI model product, the chatbot Grok. The product was developed using content from Musk's X social media platform. According to the official statement, through strategic integration, Grok is able to respond using updated data sources, giving it a unique advantage in the chatbot market.
xAI claims that the chatbot is based on the science fiction novel &#34;The Hitchhiker's Guide to the Galaxy&#34; by British author Douglas Adams, allowing it to answer controversial questions in a humorous way that other AI systems may refuse to answer.

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Media reports claimed that xAI had completed a $500 million Series A financing round, but it was quickly debunked by Musk.

Strong ability to attract funds! Musk's xAI valuation has soared to $15-20 billion