Musk's xAI plans to raise $20 billion, which is expected to become the second largest startup financing in history

Odaily News On April 26, Elon Musk's xAI Holdings is in talks with investors to raise about $20 billion for its newly integrated artificial intelligence startups and social media businesses, according to people familiar with the matter. If the deal goes through, it would be the second-largest startup financing round in history, according to data provider PitchBook, second only to OpenAI's $40 billion financing earlier this year.
People familiar with the matter said that the scale of this round of financing may exceed US$20 billion, but the total amount has not yet been finalized and the terms may still change. This round of financing will make the company's valuation exceed US$120 billion. The current financing negotiations are still in the early stages, and the company aims to complete the fundraising in the next few months. XAI Holdings, announced in March this year, is a merger of X Platform (formerly Twitter) and Musk's artificial intelligence company xAI.
Another person familiar with the matter said that the new funds may be used in part to repay the debt incurred when Musk took Twitter private (later renamed X). This huge round of financing not only highlights investors' enthusiasm for artificial intelligence companies, but also confirms Musk's status as a business tycoon and political influencer. (Jinshi)