Overview

• xAI, founded by Elon Musk in July 2023, has raised $6 billion in its latest funding round, bringing its total funding to $12 billion and achieving a $50 billion valuation.
• The company’s flagship AI model, Grok, offers features like web search integration, PDF uploads, image analysis, and conversation summarization, and is now free for all users.
• xAI is scaling its Memphis-based supercomputer, Colossus, which currently houses 100,000 Nvidia GPUs, with plans to double its capacity in 2025 to enhance AI training capabilities.
• The startup has faced scrutiny over privacy concerns, as Grok’s training data includes user posts from X (formerly Twitter), prompting regulatory investigations in Europe.
• xAI aims to integrate its AI models across Musk’s companies, including Tesla and SpaceX, while growing its team from 12 to over 100 employees within 16 months.