Elon Musk’s SpaceX might invest $2 billion in Musk’s xAI

Elon Musk’s aerospace company SpaceX is reportedly planning to invest $2 billion in Musk’s artificial intelligence startup, xAI. This investment is expected to be part of a larger $5 billion equity raise, supplemented by an additional $5 billion in debt, anticipated to close by the end of June. This would mark SpaceX’s first investment in xAI and represent one of its largest investments in an external company. The Wall Street Journal reports that SpaceX already utilizes xAI’s chatbot, Grok, to enhance customer service for its Starlink internet service, with intentions to expand collaboration between the two companies. This move aligns with Musk’s history of leveraging synergies among his various ventures, as seen earlier this year with integrations involving Twitter (now X). The article also briefly mentions some controversial chatbot behavior but does not provide further details.