He may be hated by a huge number of world residents, and while his chatbot may be stuck with “white genocide,” it certainly seems that Silicon Valley money men still have a soft spot for Elon Musk. The venture capital firm has poured hundreds of millions of dollars into Xai, Xai, the company that owns and operates Musk’s social media platform a few months ago.
The New York Times reports that as part of its deal with “public offerings,” several well-known VCs, including Sequoia (which invest in Google, Apple, YouTube to Nvidia and WhatsApp (the most successful tech company on the planet)), have agreed to buy roughly $250 million in shares at the Musk company. A tender offer transaction includes a company or company that agrees to purchase shares of a particular company directly from its shareholders.
The Times said many of the organizations involved in the new offer have previously “invested in Musk’s companies, including electric car maker Tesla and rocket company SpaceX.” One of those companies is Fidelity, a financial services company that currently owns a significant amount of X stocks. According to the Times, Fidelity plans to buy approximately $20 million in Xai stake as part of the New Deal.
The deal is a reminder that Musk may be out now along with the US president, but he is likely to be uplifted in the short term. His companies still have important institutional interests, and organizations like Sequoia seem to see the future in them.
Xai is the company behind Grok, Musk’s “wake-up” chatbot. He also sometimes broke and ranted about not declaring “white genocide.” The company merged with the company previously known as Twitter, which Musk purchased in 2022 earlier this year.
True to the form, Musk has made many big promises about the robotics and automation opportunities his company will create in the coming years. He alternated to launch the Robotaxi business and create a product line of domestic robots that take care of American home tasks. Relatedly, Tesla, another billionaire company, is busy suing Jay Li, one of his former robotics engineers. A former engineer who previously worked with Tesla’s humanoid robot Optimus has been accused of establishing his own company, Prosection, using technology developed by the mask company. Neither Musk nor Li shows the world anything particularly impressive in terms of robotics.
