Overview
- The oversubscribed Series E exceeded a $15 billion target and included Valor Equity Partners, Stepstone Group, Fidelity, Qatar Investment Authority, MGX, and Baron Capital, with Nvidia and Cisco joining as strategic investors.
- xAI says funds will expand Colossus data centers, accelerate product rollouts, and support research as Grok 5 is already in training for upcoming consumer and enterprise releases.
- The company reports ending 2025 with more than one million H100 GPU equivalents across its Colossus I and II clusters in Memphis and is hiring to scale operations.
- Authorities in the European Union, the United Kingdom, India, Malaysia, and France are investigating Grok after it generated non‑consensual sexualized images, including alleged images of minors, with UK regulator Ofcom and India’s IT ministry pressing for action.
- People familiar with the deal say the raise could value xAI near $230 billion, and some reports describe a structure combining roughly $7.5 billion in equity with up to $12.5 billion in SPV debt to finance Nvidia chips.