xAI Raises $6 Billion in Series C Funding, Plans to Double Colossus Supercomputer Capacity
xAI has announced the closure of its Series C funding round, raising $6 billion from prominent investors including A16Z, Blackrock, Fidelity Management & Research Company, Kingdom Holdings, Lightspeed, MGX, Morgan Stanley, OIA, QIA, Sequoia Capital, Valor Equity Partners, and Vy Capital. Tech giants NVIDIA and AMD also participated as strategic investors to support xAI’s infrastructure scaling efforts.
Since its Series B announcement in May 2024, xAI has achieved several technical milestones:
Key Developments:
- Established Colossus, the world’s largest AI supercomputer, featuring 100,000 NVIDIA Hopper GPUs
- Launched Grok 2, their frontier language model with advanced reasoning capabilities
- Introduced xAI API for developer access to foundation models
- Released Aurora, their proprietary image generation model
- Enhanced Grok on 𝕏 with features like web search, citations, and Aurora integration
The company highlighted Colossus’s rapid deployment, achieving full operational status in 122 days and beginning workloads just 19 days after initial server delivery. xAI plans to double Colossus’s capacity to 200,000 NVIDIA Hopper GPUs using NVIDIA’s Spectrum-X Ethernet networking platform.
The company is currently training Grok 3, which they describe as their most powerful model yet. The new funding will be used to expand infrastructure, develop consumer and enterprise products, and advance research and development efforts.