SpaceX to invest $2 billion in Musk's xAI startup, WSJ reports
UNITED STATES, JUL 14 – SpaceX’s $2 billion investment supports xAI’s AI research and infrastructure, fueling competition with OpenAI and integrating AI across Musk’s companies, including Tesla and Starlink.
- SpaceX has committed $2 billion to Elon Musk’s AI startup xAI, contributing to a larger $5 billion equity fundraising effort led by Morgan Stanley that was revealed last month.
- This investment follows xAI's merger with Musk's social media company X in March, which valued xAI at $80 billion and X at $33 billion, combining to $113 billion.
- Tesla began integrating xAI's chatbot Grok into its vehicles starting July 12, 2025, promoting conversational AI features like Storyteller and Unhinged personalities in select models.
- Musk described Grok 4 as the "world's smartest artificial intelligence" and said Tesla might invest in xAI, subject to board and shareholder approval, while opposing a Tesla-xAI merger.
- The SpaceX investment highlights Musk's strategy to interconnect his ventures around AI, but Tesla's ongoing shareholder vote on investing in xAI reflects questions over their future relationship.
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138 Articles
Musk rules out Tesla-xAI merger, proposes investor vote instead | Honolulu Star-Advertiser
Elon Musk ruled out a merger between Tesla and xAI but said he plans to hold a shareholder vote on investment in the artificial intelligence startup by the automaker, in the latest step to deepen integration across his business empire.
SpaceX to Invest $2 Billion in Elon Musk’s xAI as AI Rivalry with OpenAI Intensifies - Tech Startups
Elon Musk just made his next big move in the AI race—and he didn’t have to look far for the money. SpaceX is pumping $2 billion into Musk’s AI startup xAI as part of a massive $5 billion equity round […] The post SpaceX to Invest $2 Billion in Elon Musk’s xAI as AI Rivalry with OpenAI Intensifies first appeared on Tech Startups.
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