xAI competes in an increasingly saturated generative AI market, in which names such as OpenAI, Google and Anthropic also stand out
The artificial intelligence start-up xAI, from , announced this Tuesday (6) that it raised US$20 billion (R$107.6 billion) in its latest round of financing, surpassing the initial target of 15 billion as it accelerates the development of its Grok AI models. Founded by Musk, xAI competes in an increasingly saturated generative AI market, in which names such as OpenAI, Google and Anthropic also stand out.
The massive funding round highlights investors’ continued appetite for AI, despite doubts about how to achieve returns after the huge investments being made. The investment round, which included a wide range of interested parties, attracted capital from Valor Equity Partners, Stepstone Group, Fidelity Management & Research Company, Qatar Investment Authority, MGX and Baron Capital Group, among others, the company said.
Giant Nvidia has also participated and will support the expansion of xAI’s computing infrastructure by providing its coveted AI chips and software. The round took place while Musk, who also owns the social network X, found himself involved in a controversy surrounding Grok. This AI tool faces increasing international pressure for allowing users to generate false sexualized images of women and minors through a setting called “Spicy Mode”.
In announcing this capitalization, xAI highlighted significant advancements in 2025, including the activation of what it claims will be the world’s largest AI supercomputers. The company’s Colossus I and II data centers in Memphis now house more than one million high-performance GPUs. GPUs, or graphics processing units, are Nvidia’s semiconductors that drive the development of the AI industry.
The start-up also launched its Grok 4 language models and Grok Voice, a real-time voice agent that is now available in Tesla vehicles. According to xAI, its services reach approximately 600 million monthly active users through the X platform and Grok applications. The company stated that it is currently training Grok 5.
*With information from AFP
