Business • Jul 01, 2025

Musk's xAI secures $10 billion in funding

Elon Musk's AI startup, xAI, has secured $10 billion in funding to ramp up its tech and build out new AI infrastructure.
The package includes a $5 billion debt deal that drew lots of attention from global investors—so clearly, there's major interest in what xAI is building.

TL;DR

xAI eyes another $20 billion in equity funding

With this cash boost, xAI plans to develop more advanced AI tools, set up a new data center, and upgrade its Grok platform.
The company is also eyeing another $20 billion in equity funding, which could push its valuation over $120 billion—or even as high as $200 billion by some estimates.
Fun fact: despite early doubts about investor interest, the debt offering was actually oversubscribed.