xAI just raised $10 billion in debt and equity, Morgan Stanley confirmed Monday.
The AI startup secured $5 billion in debt and another $5 billion in a separate equity deal, according to Morgan Stanley’s X post.
This mix of funding aims to cut costs and boost capital for xAI’s AI tech push, including building one of the biggest data centers and expanding its Grok platform. 
Morgan Stanley stated:
The combination of debt and equity reduces the overall cost of capital and substantially expands pools of capital available to xAI. The proceeds will support xAI’s continued development of cutting-edge AI solutions, including one of the world’s largest data center [sic] and its flagship Grok platform,
xAI hasn’t commented outside business hours.
This latest raise follows a $6 billion round in December with backers like Andreessen Horowitz, Blackrock, Fidelity, Nvidia, AMD, and Kingdom Holdings, a Saudi group.
The new cash pump pushes xAI’s total funding to roughly $17 billion.
