"Tesla has announced a major development in its ventures outside of electric vehicles, as it confirmed today that it invested $2 billion into xAI on January 16. The move is significant, as it marks the acquisition of shares of Series E Preferred Stock, executed on market terms alongside other investors. The company officially announced it in its Q4 2025 Shareholder Deck, which was released at market close on Wednesday."
"On January 16, 2026, Tesla entered into an agreement to invest approximately $2 billion to acquire shares of Series E Preferred Stock of xAI as part of their recent publicly-disclosed financing round. Tesla's investment was made on market terms consistent with those previously agreed to by other investors in the financing round. As set forth in Master Plan Part IV, Tesla is building products and services that bring AI into the physical world. Meanwhile, xAI is developing leading digital AI products and services."
On January 16, 2026, Tesla entered into an agreement to invest approximately $2 billion to acquire Series E Preferred Stock of xAI as part of a public financing round. The investment was executed on market terms consistent with other participants in the round. The transaction follows shareholder approval in 2025 that allowed potential equity stakes in xAI and mirrors SpaceX's earlier $2 billion contribution to the same fundraising. Elon Musk leads both companies, and the investment reinforces a strategy to integrate Tesla’s physical AI products with xAI’s digital AI models and services, referencing Master Plan Part IV.
Read at TESLARATI
Unable to calculate read time
Collection
[
|
...
]