XAI, the artificial intelligence startup run by Elon Musk, raised a combined $10 billion in debt and equity, Morgan Stanley said. Half of that sum was clinched through secured notes and term loans, while a separate $5 billion was secured through strategic equity investment, the bank said on Monday.

Elon Musk's xAI will use the fresh capital to fuel its AI development efforts, including its large-scale data centre projects and Grok, its flagship AI platform.

Elon Musk’s artificial intelligence company, xAI, has raised $10 billion in fresh capital, according to Morgan Stanley, which handled the financing.