X.AI Reports $1.46B Loss, Raises $20B

Elon Musk's artificial intelligence startup Xai reported a net loss of $1.46 billion for the September quarter of 2025, an increase from $1 billion in the previous three months. This substantial loss is attributed to heavy spending on advanced data center hardware, computing infrastructure, and attracting top generative AI researchers. Despite the widening losses, Xai's revenue nearly doubled sequentially to $107 million in the same period. The company spent $7.8 billion in cash during the first nine months of 2025. Xai recently closed a $20 billion Series E funding round, exceeding its $15 billion target, with investors including Nvidia, Vista Equity Partners, and Qatar Investment Authority. This funding is intended to support the rapid development of new AI models and computing infrastructure. Xai also announced plans to invest over $20 billion in a new data center project in United States — Southaven, Mississippi, named 'MACROHARDER,' which United States — Mississippi officials have called the largest private investment in the state's history. The company aims to build AI that will eventually power humanoid robots like Optimus (robot) from Tesla, Inc., and has integrated its Grok chatbot into X (social network) and Tesla, Inc. vehicles. Leadership changes at Xai include Anthony Armstrong joining as CFO and Jon Shulkin taking a new role, while former CFO Mike Liberatore resigned.