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SpaceX invests $2 billion in Musk’s xAI initiative

July 22, 2025

SpaceX, the renowned aerospace organisation led by Elon Musk, has directed $2 billion towards xAI – his artificial intelligence lab – as part of a broader $5 billion funding push reported by The Wall Street Journal. The move is more than just a financial play: xAI’s chatbot, Grok, is set to power Starlink’s customer support, making day-to-day services more efficient.

Musk also hinted on platform X that Tesla might get involved in future xAI projects, though any such collaboration would need the nod from Tesla’s board and shareholders. Earlier this year, he confirmed that xAI had merged with his social media company, X, a step that allows the two to share data, AI models, computing resources and talent seamlessly.

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