Qatar Investment Authority (QIA) was among the major participants in a US$20 billion upsized Series E funding round for artificial intelligence startup xAI.
The US$20 billion raised by the Elon Musk company exceeded the target of US$15 billion by 33 per cent, as it ramps up development of new AI models and computing infrastructure.
In a statement, xAI said: “Looking ahead, Grok 5 is currently in training, and we are focused on launching innovative new consumer and enterprise products that harness the power of Grok, Colossus, and X to transform how we live, work, and play.
“This financing will accelerate our world-leading infrastructure buildout, enable the rapid development and deployment of transformative AI products reaching billions of users, and fuel groundbreaking research advancing xAI’s core mission: understanding the Universe.”
Valor Equity Partners, StepStone Group, Fidelity Management & Research Company were other participants in the round, while Nvidia and Cisco Investments joined as strategic investors.
When contacted by Reuters for comment by email, xAI replied with the message, ‘Legacy Media Lies’.
Qatar deepens bet on AI
Qatar Investment Authority has recently doubled down on its investment in AI.
In December 2025, QIA’s subsidiary Qai and Brookfield announced a strategic partnership to establish a US$20 billion joint venture focused on AI infrastructure in Qatar and beyond.
At the time of forming the JV, Qai said the new company will explore opportunities to co-develop and construct AI infrastructure in select international markets.
Mohammed Saif Al-Sowaidi, CEO of QIA, said: “QIA has been at the forefront of driving advancement though our AI investments. This joint venture is a testament to QIA’s commitment to delivering both local and global impact.”
Investor demand for AI deals has stayed strong despite warnings of a bubble, as companies spend heavily on computing power and new models. xAI has rapidly expanded its data-centre footprint to train more advanced systems as it tries to close the gap with OpenAI’s ChatGPT and Alphabet’s Gemini.
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