According to individuals with inside knowledge of the situation, Elon Musk’s artificial intelligence venture, xAI, is on track to secure $20 billion in funding, exceeding its original funding target. NVIDIA has emerged as one of the equity investors in this round. The sources, who opted to remain anonymous due to the sensitive nature of the information, revealed that the funding package comprises roughly $7.5 billion in equity financing and up to $12.5 billion in debt financing. This investment is closely linked to NVIDIA's graphics processing units (GPUs), which xAI intends to deploy at its “Colossus 2” data center located in Memphis. The sources further indicated that NVIDIA's equity stake in xAI could amount to as much as $2 billion. As a leading player in the AI chip industry, NVIDIA is adopting this approach to facilitate its clients in expediting their AI initiatives. When approached for comment, a spokesperson for NVIDIA declined to offer any remarks, while a representative from xAI did not reply to requests for comment.