Reported 1 day ago
Elon Musk's AI startup, xAI, is in discussions to raise $4.3 billion in equity financing, adding to the $5 billion already sought from debt investors. The company is experiencing significant cash burn, costing approximately $1 billion monthly to develop its AI models, with a projected $13 billion expenditure in the current year. With expectations of only $500 million in revenue this year, xAI hopes that its merger with Twitter could help offset costs by providing cheaper access to content for training data.
Source: YAHOO