Tesla and xAI, Elon Musk's companies, will bring online $10 billion worth of training compute capacity by the end of this year, as observed by Sawyer Merritt, a co-founder of TwinBirch and a Tesla investor. And yet, it probably means that both companies will be somewhat behind schedule set by Elon Musk.

The financing efforts follow that of rival OpenAI, which recently closed a funding round that valued it at $157 billion.

Chipmaking giant Nvidia is in talks with Elon Musk about investing in his fast-growing artificial intelligence startup xAI, a source close to the situation said. XAI — which powers the snarky Grok chatbot on Musk’s X social network — is in talks with some investors about raising several billion dollars at a roughly $40 billion valuation,