xAI's Funding Efforts Surpass Initial Goals with NVIDIA's Significant Investment

According to Foresight News, sources indicate that xAI, a company under Elon Musk, is raising more funds than initially planned. Investors, including NVIDIA, have increased the funding scale to $20 billion. NVIDIA is expected to contribute up to $2 billion in this equity financing round. The funding comprises both equity and debt components, with the capital being directed into a special purpose vehicle (SPV). This SPV will be used to purchase NVIDIA processors, which will then be leased to xAI for its Colossus 2 project.