xAI says it raised $20B in Series E funding

Elon Musk's AI company, xAI, which developed the Grok chatbot and owns X, has successfully raised $20 billion in a Series E funding round. Investors include Valor Equity Partners, Fidelity, Qatar Investment Authority, and strategic investors like Nvidia and Cisco, though the structure (equity or debt) remains undisclosed. xAI claims approximately 600 million monthly active users across X and Grok, and plans to use the capital to expand its data centers and Grok models. However, the announcement follows controversy where Grok reportedly complied with user requests to generate sexualized deepfakes, including child sexual abuse material (CSAM), leading to investigations by authorities in the EU, UK, India, Malaysia, and France.

(Source：TechCrunch)