X
Frontier Lab
xAI
Understand the true nature of the universe.
Valuation~$250B
Funding$20B raised January 2026
FlagshipGrok 4.7
Founded2023 · Palo Alto and Memphis
90
Bright Sentience Score
Rank #5 of 23
What they're building
Musk is attacking the problem with enormous compute scale. xAI's Colossus cluster in Memphis surpassed 1 million H100-equivalent GPUs, and the company raised $20B in January 2026 before merging with SpaceX. Grok 4.7 (500K context, text and image input) is its frontier model for coding, agents and knowledge work, distributed through X and Tesla.
Latest developments
- Grok 4.7 released to the API Sep 21, 2026 at $2/$6 per million tokens.
- Merged with SpaceX in February 2026 in a deal valuing the combined company at roughly $1.25T.
- Colossus passed 1M H100-equivalent GPUs, the largest single AI training site disclosed by any lab.
Why it matters
Compute is the scarcest input in the race, and xAI has shown it can build the biggest clusters faster than anyone. Pair that with X's distribution and Tesla's robots and cars, and it is a real contender.
Key facts
Leader
Elon Musk
FoundersElon Musk
PeopleElon Musk (CEO), Igor Babuschkin (co-founder, departed 2025), Jimmy Ba
HQPalo Alto and Memphis, USA
Latest modelGrok 4.7 (API Sep 21, 2026)
Valuation notexAI portion of the combined SpaceX-xAI entity (~$1.25T) after the February 2026 merger
InvestorsSpaceX (merged), Valor, Fidelity, Sequoia, a16z, Qatar Investment Authority, Nvidia
WebsiteNearby on the leaderboard