Elon Musk’s AI company xAI has raised $20 billion in fresh money. Among the backers are the chip giant Nvidia and the Emirate of Qatar, as xAI announced.
Jan 7, 2026, 3:45 a.mJan 7, 2026, 3:45 a.m
Like other artificial intelligence developers, xAI needs tens of billions of dollars to expand data centers – especially with AI chips from Nvidia.
xAI is Elon Musk’s AI offshoot.Image: keystone
The tech billionaire’s company did not provide any information about the terms of the cash injection. According to information from the financial service Bloomberg, the deal was worked on for months – and xAI planned to take on around $12.5 billion of the amount as debt. Nvidia therefore planned to invest up to two billion dollars. Such circular deals, in which Nvidia invests in companies that in turn buy the company’s chip systems, are currently typical of the AI business. (sda/dpa)