Musk's xAI in talks for US$4.3 billion equity funding, Bloomberg News reports

Elon Musk's AI startup xAI is in talks to raise US$4.3 billion (HK$33.54 billion) through an equity investment on top of its US$5 billion debt funding plans, Bloomberg News reported on Tuesday, citing information shared with investors.

Between its founding in 2023 and when the debt sale was launched this year, xAI raised US$14 billion through equity fundraising, the report said.

The Grok chatbot maker needs new funding, partly because it has already spent most of what it previously raised, according to the report.

XAI did not immediately respond to Reuters' request for comment.

REUTERS