Musk stated that he will establish a "reasonable valuation" for xAI, which may hint at a potential financing plan.

On April 22, CNBC reported that Musk said in a recent conference call with xAI investors that he wants to establish a “reasonable valuation” for his AI startup xAI. Although there has been no clear mention of a new round of funding, people familiar with the matter believe that it is a sign that xAI is about to launch a large-scale funding round. It was mentioned during the discussion that xAI is expected to surpass $1 billion in annual revenue. On March 29 of this year, xAI acquired X in an all-stock transaction, and the combined new entity was unified as XAI HOLDINGS. The deal values xAI at $80 billion and X at $33 billion (i.e., $45 billion minus $12 billion in debt). Musk said, “Since its inception two years ago, xAI has quickly become one of the world’s leading AI labs, building models and data centers at unprecedented speed and scale. X is a digital town square where more than 600 million active users find a source of real-time facts, and over the past two years, it has transformed into one of the most efficient companies in the world and is positioned for scalable future growth. The future of xAI and X are intertwined. Today, we’re officially taking a step toward bringing data, models, compute, distribution, and talent together. By combining xAI’s advanced AI capabilities and expertise with X’s massive reach, this combination will unlock tremendous potential. The combined company will provide billions of people with smarter, more meaningful experiences while staying true to our core mission of seeking truth and advancing knowledge. This will enable us to build a platform that not only reflects the world but actively accelerates human progress. I would like to thank xAI and all of the people on the X team for their tireless dedication, and it is their tireless efforts that have brought us to where we are today. This is just the beginning.”