On June 18, Bloomberg reported that, according to sources familiar with the company's financial situation, Elon Musk's artificial intelligence startup xAI is spending $1 billion a month, and the cost of building its advanced AI models far exceeds its limited revenue. The speed at which the company is losing cash starkly illustrates the unprecedented financial demands of the AI industry, especially xAI, which has been slow to realize revenue.
It is reported that xAI is trying to raise $9 billion from investors, but most of it will be spent within a few months. Currently, Grok's revenue has not reached the level of ChatGPT - revenue is expected to be around $500 million this year.
