Musk's AI has secured another $5 billion in new financing: Qatar Sovereign Fund, Sequoia, A16z..participated, with a valuation jumping to $50 billion

Elon Musk's AI startup xAI, under Musk, is reported to raise $5 billion in the latest round of financing, with participation from the Qatar Investment Authority, Valor Equity Partners, Sequoia Capital, and Andreessen Horowitz, doubling its valuation to $50 billion, compared to just a few months ago. According to The Wall Street Journal, xAI has informed investors that it will raise $5 billion in the latest round of financing, with a valuation of $50 billion, more than double its valuation a few months ago. (When xAI raised $6 billion in the spring, its valuation was $24 billion.) It is reported that the Qatar Investment Authority, Valor Equity Partners, Sequoia Capital, and Andreessen Horowitz are expected to participate in this round of financing, bringing xAI's total financing for the year to $11 billion. Since Trump's election, investors have been more interested in Musk's enterprises, including xAI and SpaceX. Musk has spent hundreds of millions of dollars supporting Trump's election campaign, publicly attending campaign events, and participating in the early transition to Trump's return to the White House, and co-leading the Government Efficiency Department (D.O.G.E.) focused on reducing government spending. xAI, founded in July last year, launched its AI model Grok in November 2023. Later than competitors such as OpenAI, Google, and Anthropic. This summer, xAI is building a new data center in Tennessee that can accommodate 100,000 NVIDIA chips to build its AI model. Musk has said that the data center has the most powerful AI cluster in the world and plans to double its size. Musk is particularly focused on defeating the developers of ChatGPT, OpenAI. In the latest round of financing completed in October, OpenAI was valued at $157 billion, and xAI will release the third version of the Grok model in December. Meanwhile, Musk has publicly requested X users to upload their health data to help train the Grok AI model to interpret symptoms. Users have responded enthusiastically. However, experts believe this is a risky goal. Although AI is increasingly used to make complex science more accessible and to create assistive technology, teaching Grok to use data from social platforms has raised concerns about Grok's accuracy and user privacy. Ryan Tarzy, CEO of health tech company Avandra Imaging, pointed out that Musk's request for users to input data directly, rather than obtaining de-identified patient data from secure databases, is an attempt to accelerate Grok's development. The data comes from a limited sample of users willing to upload their images and tests, meaning the AI has not collected data from a wider and more diverse medical environment. (Related report: Musk's xAI releases Grok-1.5V! Seven functions: coding from images, understanding memes, understanding the real world... How to use and the charges?)