Elon Musk’s xAI Startup Secures $1.08B Priority NVIDIA Order
Elon Musk’s artificial intelligence (AI) startup, xAI, has made a significant move by securing a priority order for NVIDIA’s GB200 AI servers. The order, totaling $1.08 billion, showcases Musk’s commitment to advancing AI technology through strategic partnerships with industry leaders like NVIDIA.
The GB200 AI servers, manufactured by Foxconn, are set to be delivered starting in January 2025. By securing priority access to these cutting-edge servers, Musk is positioning xAI to stay at the forefront of AI innovation and development.
Reports indicate that Musk personally reached out to NVIDIA CEO Jensen Huang to discuss xAI’s server orders, highlighting the close relationship between the two tech visionaries. Huang has previously expressed admiration for Tesla, one of Musk’s other ventures, particularly in the realm of self-driving cars.
In recent months, xAI has seen significant growth and success, with its valuation nearly doubling following a successful $5 billion fundraising round. This fundraising effort valued xAI at around $50 billion, underscoring the market’s confidence in the startup’s potential.
Musk has also hinted at the upcoming launch of a standalone xAI app featuring its large language model (LLM) Grok. This move is expected to expand the reach of xAI beyond its current user base, potentially opening up new opportunities for collaboration and growth.
As xAI continues to make strides in the AI industry, Musk’s strategic partnerships and innovative vision are positioning the startup for long-term success. With priority access to NVIDIA’s advanced AI servers and a growing valuation, xAI is poised to make a significant impact in the AI landscape in the coming years.
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