(Reuters) -Elon Musk’s AI startup xAI raised $6 billion in sequence B funding, reaching a post-money valuation of $24 billion as buyers wager massive on challengers to corporations like OpenAI within the intensifying AI race.
The funding spherical was backed by buyers together with Andreessen Horowitz and Sequoia Capital, the corporate stated in a weblog submit on Sunday.
The corporate’s pre-money valuation was $18 billion, Musk stated in a submit on X.
The cash will likely be used to take xAI’s first merchandise to market, construct superior infrastructure and speed up analysis and improvement of future applied sciences, xAI stated.
“There will likely be extra to announce within the coming weeks,” Musk stated in one other X submit, in response to the announcement of the funding.
Firms like Microsoft backed OpenAI and Alphabet’s are amongst these main the fierce race for generative AI dominance, driving important investments and innovation within the quickly evolving panorama.
(Reporting by Jahnavi Nidumolu in Bengaluru; Modifying by Varun H Okay and Nivedita Bhattacharjee)
