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Sources: xAI is burning through $1B per month, expects to burn through ~$13B in 2025, and projects its revenue to be just $500M in 2025, rising to $2B+ in 2026

Elon Musk's artificial intelligence startup xAI is burning through $1 billion a month as the cost of building …

Bloomberg

Discussion

  • @drewharwell.com Drew Harwell on bluesky
    xAI is burning $1 billion a month so Grok can explain white-supremacist conspiracy theories in the style of Jar-Jar Binks www.bloomberg.com/news/article... h/t @caseynewton.bsky.social
  • @oldcoleminer Cole Hardman on bluesky
    The secret is that people are not using AI for everything and all of the news about AI is propoganda rn because xAI and OpenAI are doing funding rounds.  If anything real news this week has been really bad for AI adoption.
  • @prietschka Paul Rietschka on bluesky
    Excellent illustration of the lack of sustainability in AI.  —  These numbers aren't just atrocious, they show that there's no business model here at all.  [embedded post]
  • @glinden Greg Linden on bluesky
    Amazing that investors keep pouring money into this bonfire.
  • @edzitron.com Ed Zitron on bluesky
    Man, if it's this bad for xAI, imagine how bad it is for OpenAI and Anthropic [embedded post]
  • @elonmusk Elon Musk on x
    @JessePeltan They don't. Also, Bloomberg is talking nonsense.
  • @jessepeltan Jesse Peltan on x
    People really have no idea what's at stake.
  • @luke_metro @luke_metro on x
    The total operating costs of xAI are ... less than it cost Meta to recruit its new VP of AI
  • r/singularity r on reddit
    Musk's xAI Burning Through $1 Billion a Month as Costs Pile Up