Elon Musk’s xAI secures $2 billion from SpaceX

SpaceX has committed $2 billion to Elon Musk’s AI startup, xAI, as part of a $5 billion equity round.

The investment strengthens links between Musk’s businesses instead of keeping them separate, with xAI now competing directly against OpenAI.

After merging with social platform X, xAI’s valuation has reached $113 billion. Grok chatbot now supports customer service for Starlink, and there are plans for future integration into Tesla’s Optimus humanoid robots instead of limiting its use to chat functions.

When asked whether Tesla could also back xAI financially, Musk replied on X that ‘it would be great, but subject to board and shareholder approval’. He did not directly confirm or deny SpaceX’s reported investment.

The move underlines how Musk positions his various ventures to collaborate more closely, combining AI, space technology, and robotics instead of running them as isolated businesses.

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