Musk denies report his xAI in talks over Tesla revenue By Reuters

(Reuters) -Elon Musk denied a report that his synthetic intelligence startup xAI has held talks for a share in future Tesla (NASDAQ:) income in return for giving Musk’s electrical automobile maker entry to xAI’s know-how and assets.

The Wall Road Journal reported on Saturday that Tesla would license xAI’s artificial-intelligence fashions to assist energy its driver-assistance software program, full self-driving know-how and share a few of that income with the startup, in accordance with the proposed association as described to buyers.

“Tesla has discovered loads from discussions with engineers at xAI which have helped speed up reaching unsupervised FSD, however there isn’t any have to license something from xAI,” Musk posted late on Saturday on his social media platform X, including that the report is “not correct.”

The Journal, citing folks acquainted with the matter whom it didn’t determine, mentioned xAI would assist the event of different options for Tesla, together with a voice assistant in its electrical automobiles and software program to energy its humanoid robotic Optimus.

The phrases of any revenue-sharing settlement between xAI and Tesla would rely partially upon how extensively Tesla relied on xAI’s know-how versus its personal, the report mentioned, including that xAI executives have mentioned a fair income cut up from Tesla’s FSD.

xAI couldn’t be reached for a remark.

Musk launched xAI final yr to compete with Microsoft-backed OpenAI. It sparked considerations that he would possibly allocate some assets of the automaker to the AI firm.

He has mentioned xAI could be “useful in advancing full self-driving and in increase the brand new Tesla knowledge middle,” including that there have been alternatives to combine xAI’s chatbot, Grok, with Tesla’s software program.

In July, the billionaire CEO mentioned he and the Tesla board would talk about a $5 billion funding in xAI.