xAI raises another $6 billion to keep up with Microsoft, Open AI and Google

xAI, Elon Musk’s generative AI company recently announced to have secured $6 billion in Series B funding. This announcement is more than just about money; it is a clear sign that Musk doesn’t want to lose sight of the more powerful competitors such as Microsoft, OpenAI, and Google.

The market entrance of Grok, an AI chatbot belonging to xAI, was thei initial step in this area. It started with a small number of users but has grown now. Grok-1.5V is the latest version that has increased its abilities to include vision aspects along with assisting text prompts for more advanced interactions – and there’s much more coming soon from multiple exciting technology updates and products.

Will xAI be able to hold a candle against Microsoft’s AI empire?

xAI doesn’t have the powerful software and hardware behindit, like Microsoft and Google, so it has to build it. It’s not just about the big money and famous support; xAI also plans to create a supercomputer by 2025. This supercomputer will not be like any other; it is believed to use groups of Nvidia H100 GPUs for power, which makes it four times larger than present AI GPU clusters.

The impacts of xAI’s arrival are wide-ranging. It doesn’t just mean a fresh phase in the AI arms contest, it hints at what the future might hold for AI development. Musk’s involvement with xAI could disrupt things as usual, so we might see some surprises.

What kind of reaction can we expect from industry towards this fresh challenge? We have to wait and see, but one thing is sure, we’ll be seeing more from xAI and Grok soon.

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