Elon Musk launched his latest venture in July of 2023, as a response to what he calls excessive censorship and inadequate safety measures in Big Tech’s AI efforts. Positioned as an alternative to Microsoft-backed OpenAI, it aims to create a useful and safe AI that surpasses human intelligence.
The new tech company’s funding drive and potential valuation in the range of $15 billion to $20 billion is attracting attention from investors. Notable backers, including Larry Ellison, Sequoia Capital, Andreessen Horowitz, Fidelity Management & Research Co., and Saudi Prince Alwaleed bin Talal. All of those involved in Musk’s $44 billion takeover of Twitter aka X, are expected to invest in xAI.
Despite the reported funding commitments, Musk has categorically denied the validity of the news, referring to it as “fake news.”
All eyes on AI
The startup has developed a chatbot named Grok, utilizing social media posts from Musk’s platform X. Grok’s advantage lies in accessing more current data for responses compared to its competitors.
