Elon Musk's xAI Pursues $40 Billion Valuation in New Funding Round

The AI startup, aiming to compete with industry leaders, is in early talks to raise several billion dollars.

xAI, founded by Elon Musk, seeks to increase its valuation from $24 billion to $40 billion through a new funding round.
The discussions are in preliminary stages, with the potential for terms to change or talks to fall apart.
xAI recently raised $6 billion in May, backed by investors including Andreessen Horowitz and Sequoia Capital.
The company is expanding its data center in Memphis, aiming to double its computing power to enhance AI training capabilities.
xAI's Grok chatbot, a competitor to OpenAI's ChatGPT, is part of Musk's strategy to gain a foothold in the AI market.