All articles tagged with #xai
Grok, Elon Musk’s AI chatbot, reportedly had an update delayed by several days after Musk was unhappy with how it answered detailed Baldur’s Gate 3 questions. In response, Musk allegedly convened a “war room” to push Grok to become a BG3 expert and even prioritize learning League of Legends, illustrating ongoing efforts to expand Grok’s game knowledge as part of xAI’s broader AI tuning and safety concerns.
Elon Musk has stepped up day-to-day leadership at xAI after a SpaceX-backed acquisition, reshaped teams, and pushed Grok toward an IPO that could value the company at about $1.5 trillion, even as cofounders depart and a high-pressure 'war room' culture drives rapid pace and safety concerns over Ani and Grok's outputs.
Elon Musk–backed xAI is experiencing a wave of departures after cofounders Tony Wu and Jimmy Ba left, leaving about half of the original 12 cofounders and prompting more staff to exit or start new ventures. The SpaceX merger is driving plans for an AI satellite factory on the Moon and a four-area structure: Grok Main and Voice, Coding, Imagine, and Macrohard, though insiders say safety has been sidelined and a push-to-production culture with little human review is fueling frustration and infighting as the company tries to outpace OpenAI.
Drone- and thermal-imaging investigations show xAI operating 15+ unpermitted gas-turbine units at its Southaven facility in Mississippi, despite an EPA ruling that such sources require permits; state regulators say the turbines are portable and exempt, while the EPA and environmental groups warn this violates the Clean Air Act and poses health risks as xAI seeks permits for more turbines and expansion of its Colossus datacenters.
Apollo Global Management is nearing a roughly $3.4 billion loan to a vehicle that will buy Nvidia chips and lease them to Elon Musk’s XAI (which has merged with SpaceX), marking Apollo’s second major financing for the XAI chip venture, which aims to raise about $5.3 billion in equity and debt.
An analyst suggests Tesla could be merged into SpaceX/xAI within 12–18 months to form a combined AI/space empire, valuing xAI at about $250B and SpaceX at roughly $1T; Tesla has invested around $2B in xAI, and SpaceX aims to deploy up to 1 million satellites to power AI compute, with the Street largely cautious but one bullish note from Dan Ives who sets a $600 target on TSLA.
Elon Musk is merging SpaceX with X AI to create a vast, IPO-bound tech group spanning rockets, AI compute and a plan for space-based data centers via a constellation of satellites; analysts see potential synergies and a major valuation lift driven by SpaceX, but the space-based compute concept remains speculative and would require years, regulatory approvals and a broader Musk consolidation narrative (including Tesla).
Elon Musk is merging SpaceX with his AI startup xAI in a deal valuing the combined company at about $1.25 trillion (SpaceX ~$1 trillion, xAI ~$250 billion) with an IPO planned for June. Musk argues the merger will move AI compute into space by building a vast network of solar-powered datacentres via up to a million satellites. Experts warn of technical and maintenance challenges for space-based datacentres and potential impacts on SpaceX shareholders, while investors see strategic value in pairing Musk’s rocket hardware with AI software. Analysts also hint at broader Musk consolidation, including a possible Tesla–SpaceX tie-up.
Elon Musk merges SpaceX with his AI startup xAI to form a $1.25 trillion entity, a move critics liken to the SolarCity bailout; the deal could shield xAI’s heavy losses by tapping SpaceX cash ahead of what’s being pitched as a historic IPO, while skepticism grows about space‑based AI ambitions.
Elon Musk arranged a two-step triangular merger that keeps xAI as a SpaceX subsidiary, insulating the parent from xAI’s debts and liabilities while letting xAI shareholders defer taxes through a tax-free reorganization; the deal values xAI at about $250 billion and SpaceX at $1 trillion, avoids triggering debt covenants, and is not expected to derail SpaceX’s planned IPO later this year, though it adds complexity and could affect valuation; it also aims to shield SpaceX from xAI’s potential legal issues surrounding Grok.
Wedbush’s Dan Ives says there’s a growing chance Tesla could merge with SpaceX and xAI as Elon Musk’s AI ecosystem expands; the SpaceX–xAI deal has intensified investor interest in a potential Musk empire merger, though the idea remains speculative and timing uncertain, with TSLA still viewed by many analysts as a mixture of growth drivers beyond EVs and AI initiatives.
Elon Musk is merging SpaceX with xAI to push for orbital AI data centers, arguing outer space offers vast solar power and cooling while avoiding terrestrial land and water constraints. Google and others are eyeing orbital compute with test concepts, and moves by OpenAI-related groups hint at broader industry interest. Experts caution that energy needs, water usage, regulatory hurdles, and uncertain timelines could push orbital data centers far into the future, even as falling launch costs improve feasibility and Musk has a history of optimistic timelines.
Elon Musk announced a SpaceX–xAI merger to pursue space-based data centers for AI at scale, arguing that AI growth will require orbiting infrastructure. The move pairs a profitable SpaceX with cash-burning xAI, which is spending heavily to build data centers, while critics point to enormous power, cooling, and communications costs and question investor appetite as Musk’s broader ventures, including Tesla, accompany the plan.
Elon Musk's SpaceX is acquiring his AI startup xAI in a deal valued at about $125 billion for xAI and $1 trillion for SpaceX, creating what could be the world's most valuable private company and an 'innovation engine' that unites AI, rockets, space-based internet, and media, with potential IPO plans on the horizon.
XAI told staff after SpaceX acquired the company that branding will remain separate for now and that the joint venture still plans a possible 2026 IPO, though timing and valuation are uncertain. Employees will be updated on equity impacts, all-hands and trainings are planned, and access to internal SpaceX databases will be restricted to protect defense/space-regulated tech, while SpaceX workers may access some XAI tools.