July 15, 2025

SpaceX Invests $2 Billion in xAI, Boosting Musk’s AI Ambitions 🚀🤖

SpaceX has committed $2 billion to Elon Musk’s artificial intelligence startup xAI, as part of a broader $5 billion equity round, according to the Wall Street Journal.

The deal deepens the ties between Musk’s ventures, following xAI’s recent merger with X (formerly Twitter). The combined entity is now valued at $113 billion.

According to the report, xAI’s Grok chatbot is already powering Starlink customer support and could soon be integrated into Tesla’s Optimus humanoid robots, reflecting Musk’s ambition to weave AI into his wider technology ecosystem.

In a post on X, Musk responded to speculation about whether Tesla might also invest in xAI, saying:

“It would be great, but subject to board and shareholder approval,” without confirming or denying SpaceX’s reported investment.

SpaceX, xAI, and Tesla have not officially commented on the matter. Reuters said it could not immediately verify the WSJ report.

Despite recent controversies surrounding Grok’s chatbot responses, Musk has described it as “the smartest AI in the world.” xAI continues to spend heavily on model training and infrastructure as it races to compete with OpenAI, Anthropic, and other rivals.

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