Elon Musk’s xAI secures $400 million from KHC, valuation hits $45 Billion

Saudi Arabia's Kingdom Holding Company (KHC) has announced a $400 million (SAR 1.5 billion) investment in Elon Musk's artificial intelligence startup, xAI, as part of its Series C funding round. This marks KHC's second investment in xAI, following an equal contribution during the Series B round.
The funding, sourced from KHC's internal financial reserves, was disclosed in a regulatory filing on Saudi Arabia's stock exchange, Tadawul. Founded by Elon Musk and a team of global engineers, xAI aims to revolutionize artificial intelligence by advancing scientific discovery and developing cutting-edge AI models. The company maintains close collaborations with Musk's other ventures, including Tesla, SpaceX, and X (formerly Twitter), which boasts over 500 million active users.

Despite being a relatively new entity with no financial statements available from the past three years, xAI's valuation has surged to $45 billion in the latest funding round, up from $25 billion in the previous Series B round.
This investment strengthens KHC's ongoing strategic partnership with Elon Musk, complementing its longstanding stake in X, which dates back to 2015. It also underscores KHC's commitment to investing in emerging technologies and securing a leadership position in the rapidly evolving AI sector.

Also Read: The Guardian withdraws official presence from Elon Musk’s X