The fundraising speed cannot keep up with the spending speed, Musk's xAI burns $1 billion every month

According to Golden Finance, Musk's AI startup xAI is attempting to raise $9.3 billion through debt and equity financing, but according to the terms of the transaction shared with investors, the company plans to spend more than half of the funds in the next three months before the money enters the bank. The speed at which the company raises funds and consumes cash vividly illustrates the unprecedented funding needs of the artificial intelligence industry, as well as the relatively meager income it has brought so far, at least for xAI. According to sources, based on the company's leveraged cash flow, it is expected to consume approximately $13 billion during 2025, or over $1 billion per month. As a result, the company's extensive fundraising activities barely kept up with the pace of expenditures.