Elon Musk’s (pictured) AI start-up xAI reportedly pursued talks with investors for a new round of funding which would value the company at $40 billion, after previously raising $6 billion.

The Wall Street Journal (WSJ) reported the funding discussions are in the early stages but there is no certainty the new investment will take place.

The company’s valuation hit $24 billion after the previous funding round, WSJ reported, but the latest move would make xAI one of the most valuable start-ups in the US.

xAI was founded in 2023 and made strides in generative AI, launching the Grok chatbot as a direct competitor to OpenAI’s ChatGPT.

The model has been trained and integrated with Musk’s social media company X, and is available to the company’s premium subscribers.

As one of the co-founders of OpenAI, Musk has a history of AI development, but Financial Times noted he stepped down from the board in 2018 after alleged clashes with management on its approach to safety.

OpenAI closed a funding round at a valuation of $157 billion earlier this month.