Elon Musk’s xAI has shown significant growth, raising $6 billion in 2024 and now targeting a $10 billion funding round at a $75 billion valuation.
Despite this rapid expansion, an IPO seems unlikely in the near term.
Musk has a history of keeping his companies private, as seen with SpaceX, The Boring Company, and Neuralink, allowing him greater control and flexibility.
xAI’s current focus appears to be on scaling its AI capabilities, including the development of its supercomputer, Colossus, and enhancing its Grok chatbot.
The company’s revenue strategy is still unclear, with much of its projected $100 million in 2025 revenue expected to come from Musk’s other ventures like X (formerly Twitter).
While the AI sector is booming, xAI faces stiff competition from OpenAI, Google, and Anthropic, and regulatory uncertainties could further delay any public offering.
For now, Musk seems to be prioritising private funding and strategic growth over going public.
If xAI did go public, would you invest? 🤔📈
