Elon Musk’s AI startup xAI is seeking up to $12 billion in debt to build a massive AI supercomputing infrastructure using Nvidia chips, according to the Wall Street Journal. The company is partnering with Valor Equity Partners to secure lender financing for the purchase of high-end Nvidia GPUs. The chips will be leased back to xAI to power its Grok chatbot and large language model training. Musk posted on X that xAI is training Grok on 230,000 GPUs, including 30,000 GB200 chips, and plans to activate a 550,000-chip supercluster soon. Earlier this month, xAI raised $10 billion and is reportedly considering a new equity round that would value the company at up to $200 billion.
