Elon Musk announced plans to have Tesla shareholders vote on investing in xAI, following reports of SpaceX considering a $2 billion investment in the Grok chatbot developer.
Musk stated that the decision to invest in xAI is not solely up to him and will require approval from Tesla's board and backers.
The potential investment comes as XAI Holdings, a combined entity involving xAI and X, aims to raise funds at a valuation of up to $200 billion, indicating Musk's effort to integrate different parts of his corporate empire.
Tesla had previous business dealings with xAI, with the startup spending $198.3 million on agreements with Tesla, including purchasing Megapack energy storage batteries.