Elon Musk's artificial intelligence (AI) start-up company called “xAI” has been valued at $24 billion U.S. in a new funding round.
The privately held company said it raised $6 billion U.S. in a series B funding round. xAI aims to compete against companies such as OpenAI in the race to develop new AI applications.
The latest funding round included venture capital firms such as Andreessen Horowitz and Sequoia Capital.
The previous valuation of xAI was pegged at $18 billion U.S.
In a post on social media, Musk, who is also the chief executive officer (CEO) of electric vehicle maker Tesla (TSLA), said the money will be used to take xAI's first products to market.
“There will be more to announce in the coming weeks,” Musk said in a post on X.
A host of companies, including Microsoft (MSFT) and Alphabet (GOOG/GOOGL), are racing to develop generative AI models and applications in the quickly evolving tech sector.
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