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Tech

Elon Musk denies reports he’s raising billions for xAI

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Elon Musk has hit out at reports that he’s gearing up for a formidable challenge against OpenAI with substantial financial backing.

Reports suggest that his competitor, xAI, is in discussions to raise up to $6 billion, aiming for a proposed valuation of $20 billion, according to the Financial Times.

Sources familiar with the matter have indicated that Musk has been engaging with family offices in Hong Kong and targeting sovereign wealth funds in the Middle East as potential sources of funding.

This new fundraising goal significantly exceeds the initial target of $1 billion that xAI had set just last month, as per a filing with the U.S. Securities and Exchange Commission.

But in a Tweet on X, Elon Musk refuted the reports, saying “xAI is not raising capital and I have had no conversations with anyone in this regard.

Ambitious fundraising

xAI has managed to secure $135 million toward its fundraising objective.

Last week, Musk refuted claims that his xAI startup had already garnered $500 million in commitments from investors toward the $1 billion goal, asserting that such reports were inaccurate.

In November, xAI introduced its AI chatbot, Grok, which competes with OpenAI’s ChatGPT.

Grok is designed to respond to queries with humor and a touch of rebellion, with the company advising against its use “if you hate humor.”

While xAI’s valuation of $20 billion remains a fraction of OpenAI’s, it aligns closely with Anthropic’s valuation of $18 billion in the AI space.

Thriving AI

Despite a slowdown in overall startup funding, AI continues to thrive.

Global funding for AI startups reached $50 billion in 2023, marking a 9% increase from the previous year, according to market research firm Crunchbase.

This surge in interest from tech leaders underscores the growing importance of AI technology.

Ahron Young is an award winning journalist who has covered major news events around the world. Ahron is the Managing Editor and Founder of TICKER NEWS.

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Critics voice concerns over rushed social media ban

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The Australian legislation, pushed through Parliament with 33 other bills on the last sitting day, has sparked debate due to its rapid approval and limited public consultation.

While proponents argue the ban addresses mental health issues linked to excessive social media use, critics, including cybersecurity experts, warn of potential unintended consequences, such as driving young users to unregulated platforms.

Concerns also extend to the single-day consultation period, which saw 15,000 responses, indicating the community’s deep interest in the issue.

Craig Ford, co-founder of Cyber Unicorns, joined to discuss the controversial legislation.

He advocated embedding robust cyber education in schools as a more sustainable solution, highlighting the need to foster digital literacy among young Australians.

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Temu trouble for toy market as Christmas fast approaches

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The e-commerce platforms, known for cheap fast fashion, are now doubling down on toys just in time for the holidays.

 

These apps, often dubbed “digital dollar stores,” are gaining ground with bargain-hunting shoppers.

Toys have become one of Shein’s fastest-growing categories, with double-digit sales growth year-over-year. But regulators and toy companies warn about counterfeit goods on these platforms, raising safety concerns. Products resembling Mattel’s Hot Wheels and Spin Master’s Ms. Rachel dolls have been flagged as potential knock-offs.

Despite these warnings, companies like MGA Entertainment are considering selling on these platforms to tap into their growing user base. Shein and Temu are aggressively courting sellers, offering incentives like fee waivers and expanded access.

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Decentralisation is positioned to redefine internet infrastructure

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Depin technology is empowering users, allowing individuals to own, store, and curate their own data.

Depin is redefining how the internet operates by decentralising physical infrastructure, enabling users to own, store, and control their data.

This groundbreaking approach utilises decentralised nodes to enhance speed, security, and resilience while reducing dependence on centralised providers.

The technology offers a user-powered network that removes the vulnerabilities inherent in traditional centralised systems, addressing issues like outages and censorship.

By creating a decentralised ecosystem with over 13,500 nodes globally, it builds a more robust and accessible internet experience.

The concept borrows principles from blockchain and cryptocurrencies, enabling individuals to participate directly in network management.

CEO and co-founder of Influx Technologies, Daniel Keller, joins to discuss the transformative data technology.

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