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Elon Musk’s xAI Holdings is currently engaging with potential investors in an effort to secure approximately $20 billion in funding, according to a report from Bloomberg News, which cited sources familiar with the discussions.
If successful, this capital infusion would place the company’s valuation above $120 billion, as indicated in the report.
There is potential for the funding amount to exceed $20 billion, though exact figures remain undetermined at this stage.
As of now, xAI has not provided a response to a request for comment from CNBC, particularly outside of U.S. business hours.
Musk has previously expressed a desire to assign a “proper value” to xAI, as reported by sources to CNBC’s David Faber earlier in the month. During a conversation with xAI’s investors, Musk did not disclose any imminent funding rounds. However, sources suggested that the company was preparing for a significant capital raise soon.
Last month, the artificial intelligence company completed an all-stock acquisition of X, which valued xAI at $80 billion and the social media platform at $33 billion. Musk announced the deal on X, stating, “xAI and X’s futures are intertwined. Today, we officially take the step to combine the data, models, compute, distribution, and talent. This combination will unlock immense potential by blending xAI’s advanced AI capability and expertise with X’s massive reach.”
To read the complete Bloomberg article, click here.
— CNBC’s Samantha Subin contributed to this report.
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www.cnbc.com