xAI, a Palo Alto, CA-based artificial intelligence company with the mission of understanding the universe, has raised $20 billion in a Series E funding round.
Investors
The investors participating in the round include Valor Equity Partners, StepStone Group, Fidelity Management & Research Company, Qatar Investment Authority, MGX, and Baron Capital Group, among other key partners. Strategic investors in the round include NVIDIA and Cisco Investments.
xAI Use of Funds
The company will use the funds to expand AI compute infrastructure, develop and deploy transformative AI products, and advance research initiatives, including training the next-generation Grok 5 models.
About xAI
xAI is an AI company founded by Elon Musk in July 2023 with the mission to understand the true nature of the universe. The company focuses on building artificial intelligence tools to advance human comprehension and capabilities. Its flagship generative AI model, Grok, powers a wide range of products, including Grok Voice for real-time multilingual conversations, Grok Imagine for image and video generation, and integrations with X to provide real-time insights. Headquartered in Palo Alto, California, the company also has offices in Seattle, San Francisco, Tennessee, and London, UK.
Funding Details
Company: xAI
Raised: $20.0B
Round: Series E
Funding Date: January 2026
Investors: Valor Equity Partners, StepStone Group, Fidelity Management & Research Company, Qatar Investment Authority, MGX, Baron Capital Group; Strategic: NVIDIA, Cisco Investments
Company Website: https://x.ai/
Software Category: AI / Generative AI Infrastructure
Source: https://x.ai/news/series-e