xAI in advanced talks to raise USD15 billion: WSJ

The news: Elon Musk’s AI company xAI is in late stage talks to raise USD15 billion ($23.13 billion) in new equity, according to sources cited by the Wall Street Journal.

The numbers: The raise would give xAI a USD230 billion valuation, a significant increase from the USD113 billion the company disclosed after buying social media platform X in March this year.

The context: The terms of the new fundraising were disclosed to investors by Musk’s wealth manager, Jared Birchall, on Tuesday night, sources told the WSJ.

Last week CNBC reported on xAI’s planned USD15 billion in a Series E fundraising which would value the firm at USD200 billion, but after the article was published Musk wrote “false” on an X post shared about the article.