Elon Musk's xAI Seeks To Raise $1 Billion To Compete Against ChatGPT

Billionaire Elon Musk is all set to compete against ChatGPT in the world of artificial intelligence. As part of this, xAI, Elon Musk”s startup focused on artificial intelligence, is seeking to raise $1 billion. As per a recent filing with US securities authority, Elon Musk”s xAI is aiming to raise this amount through an equity offering.

As per the Securities and Exchange Commission”s (SEC) official filing, Elon Musk”s AI startup has gathered $134.7 million from four investors since November 29. The race to develop generative AI has intensified as tech giants are trying to gain dominance in AI technology. Notably, all the companies are mainly competing against OpenAI, the current market leader. OpenAI made a significant impact by unveiling the ChatGPT in November last year. Notably, Elon Musk co-founded OpenAI in 2015 and walked away from it in 2018.

However, on Wednesday, Elon Musk said that his artificial intelligence startup was not raising funds “right now”. While replying to a post on X, the billionaire said, “We are not raising money right now.” In July, Elon Musk unveiled xAI, his ambitious project. xAI is aided by a team of research engineers who have previously worked for major firms like Google Research, OpenAI, and Microsoft. In November, Elon Musk”s startup announced Grok AI. Elon Musk said that the Grok chatbot is designed to be more sarcastic than other chatbots. Grok is claimed to be trained on millions of articles and posts across the web and is based on large language model (LLM) technology. One of the main advantages of Grok is that it is integrated with X, and this gives access to a vast stream of real-time data.