New York. Elon Musk’s SpaceX has agreed to invest $2 billion in its artificial intelligence company XAI, the Wall Street Journal reported on Saturday, citing investors close to the company.

The investment was part of XAI’s $5 billion equity fund, announced last month by Morgan Stanley, the report said. This is SpaceX’s first known investment in XAI and its largest investment in another company.

Musk has repeatedly mobilised his business empire to encourage AI operations. Moscow-invested X AI (a leading AI research and deployment company famous for creating the ChatGPT platform) is competing with OpenAI.

Earlier this year, he stepped up efforts to increase Grok’s reach by integrating AI research lab XAI into social networking platform X. According to the report, the new company’s value reached $ 113 billion.

Musk has called Grok “the smartest AI in the world”. It supports customer-support facilities for SpaceX’s satellite internet service, Starlink. During wednesday’s release of AI chatbot Grok 4, Musk has revealed his signal to ’embed Grok’ into humanoid robots like Tesla’s ‘Optimus Fleet’.

Musk’s representative said that there will be more business partnerships between SpaceX and XAI in the future.