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Elon Musk’s AI venture xAI is reportedly set to spend $10 billion on Oracle cloud servers in a multi-year agreement. The company is also finalizing a $6 billion funding round, with most of the cash going towards renting infrastructure. Musk and Oracle founder Larry Ellison have a long-term friendship, with Ellison previously serving as a director at another Musk company, Tesla. xAI’s first service, a chatbot called Grok, is currently in development and is being trained using 20,000 Nvidia GPUs.
