Elon Musk’s SpaceX is set to invest $2 billion in his artificial intelligence startup xAI, as part of a broader $5 billion equity round, according to a report by The Wall Street Journal. The deal would mark SpaceX’s first investment in xAI and significantly deepen the financial and operational ties between Musk’s business ventures.

According to a Wall Street Journal report that cites investors close to SpaceX, the company has agreed to invest $2 billion in Musk’s AI startup xAI. The investment would reportedly be part of the $5 billion equity raise (along with another $5 billion in debt) that Morgan Stanley announced at the end of June.

July 12 (Reuters) - SpaceX has committed $2 billion to xAI as part of a $5 billion equity round, deepening the ties between tech billionaire Elon Musk's ventures as his artificial intelligence startup races to compete with rival OpenAI, the Wall Street Journal reported on Saturday.