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Losses for Musk's xAI Increase in Quarterly Report
Summary: According to sources cited by Jinshi, Elon Musk's xAI is rapidly depleting funds, with losses escalating due to heavy investments in data center construction, talent recruitment, and software development for humanoid robot driving. Internal documents reveal xAI's net loss in the third quarter was $1.46 billion, higher than the $1 billion in the first quarter. ...
According to sources cited by Jinshi, Elon Musk's xAI is rapidly depleting funds, with losses escalating due to heavy investments in data center construction, talent recruitment, and software development for humanoid robot driving.
Internal documents reveal xAI's net loss in the third quarter was $1.46 billion, higher than the $1 billion in the first quarter. The company has spent a total of $7.8 billion in cash in the first nine months of 2025. Insiders disclosed that funds raised in recent financing rounds, like other fast-growing AI startups, are being quickly utilized.
During an investor call, xAI executives stated the current focus is on accelerating the development of AI agents and other software products. These products will feed into what is called Macrohard—Musk explained the term refers to a pure AI software company, a play on words with Microsoft—ultimately providing support for Optimus.
