Kingdom Holding Company acquires a stake worth $400 million in X's artificial intelligence subsidiary.

Saudi Kingdom Holding Company announced on Wednesday that it has completed a deal to acquire a stake in the artificial intelligence company affiliated with the platform X – formerly Twitter – currently owned by American billionaire Elon Musk, known as "xAI," which owns the AI model "Grok." The value of the stake reached 1.5 billion Saudi riyals (equivalent to approximately $399.5 million). Kingdom Holding stated that it acquired this stake as part of a Series C funding round for the company XAI and clarified that this new stake comes after its previous investment of 1.5 billion Saudi riyals in xAI in another Series B funding round. In the official statement issued by Kingdom Holding, the company said that this investment strengthens the strategic partnership between it and billionaire Elon Musk and aligns with its strategic investments in X, in which the Saudi company has held a stake since 2015. This announcement comes at a time when the company xAI was valued at $45 billion in the Series C funding round as part of this capital-raising initiative, although financial data for the company is not yet available since it is still relatively new. The new valuation reflects a significant increase from its previous valuation of $25 billion during the Series B funding round, in which Kingdom Holding also participated.