Elon Musk’s SpaceX plans to invest $2 billion in his AI startup, xAI. This investment is part of xAI’s effort to raise $5 billion in equity. Additionally, xAI has incurred $5 billion in debt, bringing the total fund to $10 billion.
The Wall Street Journal reported, citing sources close to SpaceX, that the company has made a significant investment in xAI, marking its first stake in the firm. This deal is one of SpaceX’s largest external investments, with Morgan Stanley overseeing the funding round.
Breaking: Elon Musk’s company SpaceX has agreed to invest $2 billion in his AI startup xAI, in a bid to catch up in the AI race https://t.co/iFTCz6QDpg
— The Wall Street Journal (@WSJ) July 12, 2025SpaceX currently utilises xAI’s Grok chatbot to manage customer service for Starlink Internet. There are plans for a closer partnership between the two companies. Musk frequently connects his various ventures; for instance, he merged xAI with X (formerly known as Twitter) earlier this year. Additionally, Musk announced that Tesla will integrate Grok into its cars next week.
Elon Musk’s SpaceX might invest $2 billion in Musk’s xAI | TechCrunch https://t.co/vv3hDt10ow
— TechCrunch (@TechCrunch) July 13, 2025xAI received backlash for Grok’s controversial remarks and apologised for antisemitic comments. Despite this, their integration efforts continue.
Read:Elon Musk’s xAI Targets $200B Valuation in New Funding Round
