Musk used all financial leverage to raise $12 billion for the xAI chip.

Elon Musk is leveraging all possible financial leverage to keep up with the pace of the artificial intelligence arms race. According to sources, just weeks after Musk's xAI raised $10 billion through the sale of stocks and bonds, the startup is now partnering with a trusted financier to secure up to $12 billion for its ambitious expansion plans. Antonio Gracias, founder of investment firm Valor Equity Partners, has a close relationship with Musk, and the company is in negotiations with creditors to raise funds. This money will be used to purchase a large quantity of advanced chips from Nvidia and lease them to xAI for the construction of a new large data center, aimed at helping train and power the artificial intelligence chatbot Grok. Grok, not as popular as OpenAI's ChatGPT, posted racist and controversial comments on the social media platform X earlier this month, damaging its reputation.