xAI completed US$6 billion in Series C financing, with participation from NVIDIA and AMD

On December 24 , xAI, a generative artificial intelligence company founded by Elon Musk, announced that it had successfully completed Series C financing of US$6 billion (approximately 43.82 billion yuan). This round of financing attracted the participation of a number of well-known investment institutions and technology giants, including A16Z, BlackRock, Fidelity Management and Research Company, Kingdom Holdings, Lightspeed Venture Capital, MGX, Morgan Stanley, OIA, Qatar Investment Authority ( QIA), Sequoia Capital, Valor Equity Partners and Vy Capital, among others. In addition, GPU giants Nvidia and AMD also participated in the investment.

This financing is another large-scale financing after xAI completed a US$6 billion financing in May this year. xAI plans to use the financing funds to further upgrade its infrastructure, especially the purchase of more Nvidia GPUs to expand the scale of computing power. This summer, xAI launched a supercomputer called "Colossus" equipped with 100,000 NVIDIA H100 GPUs in Memphis. According to previous reports, xAI's target valuation in this round of financing is US$50 billion, and the financing funds will be mainly used to expand the scale of the Colossus supercomputer, with the ultimate goal of increasing its number of GPUs to 1 million.

xAI said in its funding announcement: “This round of financing will help accelerate the construction of our advanced infrastructure, launch breakthrough products that will be used by billions of people, and advance the research and development of future technologies to support the company’s mission of understanding the true nature of the universe. ”

Since its establishment, xAI has developed very rapidly, especially in its deep integration with Musk's social platform X (formerly Twitter). xAI's products rely on the X platform's massive user-generated data for training, further improving the performance of its AI models. The completion of this financing will undoubtedly accelerate xAI’s deployment in the field of artificial intelligence and further intensify competition with competitors such as OpenAI.

At the same time, Musk is also actively launching a legal battle with OpenAI, accusing it of deviating from its original non-profit purpose. Musk has criticized OpenAI's ChatGPT for being too "woke" and "politically correct," and said xAI's Grok model will pursue "the greatest degree of truth." Currently, xAI is training its most powerful AI model to date, Grok 3.

The rapid development of xAI and the success of this financing have not only enhanced its influence in the field of artificial intelligence, but also laid a solid foundation for future technological innovation and market competition.