xAI

The company formerly known as xAI has referred to itself as SpaceXAI before following the acquisition by SpaceX. There’s a new logo, too.

SpaceX bonds are creating losses for the fast-money types who piled in at the offering. “Bond types either aren’t sure that SpaceX will hang on to its investment-grade credit ratings, or will only get involved if they get paid a fat risk premium for doing so,” the Financial Times explains. SpaceX stock is, as of this writing, trading below its IPO price. Gee, if only someone had pointed out that this company is a stinker.

The open-source AI startup has a deal through 2029, similar to Anthropic and Google, to rent compute capacity from SpaceX’s Colossus 2 data center for $150 million per month (up to $6.3 billion), reports the Wall Street Journal.

The Justice Department argues that xAI’s Mississippi data center should be allowed to pollute the air because it’s “critical” for military operations, which honestly explains a lot.

The Justice Department is trying to intervene and dismiss a case from the NAACP alleging xAI’s use of gas turbines in Mississippi are illegally polluting the air. Preventing xAI from using them would endanger national security, DOJ argues, because “Grok provides critical support for the Department of War’s military operations.”

A month after a jury dismissed Elon’s claims in the Musk v. Altman case, US District Judge Rita Lin dismissed an xAI lawsuit accusing OpenAI of stealing trade secrets and poaching employees. This time, it was dismissed with prejudice, meaning it can’t be refiled, unlike when she dismissed the case in February.

While SpaceX plans satellite-based AI servers, Bloomberg reports it ran into trouble trying to develop and run Grok AI in Memphis, citing unnamed sources. They claim that deals renting capacity to Anthropic ($15 billion annually) and Google ($920 million per month) happened following hardware variation and lag issues:

As reported by CNBC, the New York Times, and others, trading commenced at a price 11 percent above the $135 IPO price, but lower than the $175 shown in some earlier indications. It’s already spiked as high as $167, before falling back to $155. As long as the share price remains above $138, that is enough to make Elon Musk the world’s first trillionaire.

Per a regulatory filing, Google will pay SpaceX $920 million per month from October 2026 through June 2029, as reported by TechCrunch.

CNBC reports details from a new filing ahead of SpaceX’s IPO on June 12th and notes a mention that xAI, which merged with SpaceX earlier this year, bought $269 million worth of Tesla megapack batteries in April.

As xAI aims to compete with rivals like Anthropic and OpenAI, which have focused heavily on AI-assisted coding, the company is launching a new agentic coding CLI tool for Grok. It’s available initially for subscribers to xAI’s SuperGrok Heavy plan.

What happened in the second week of Elon Musk’s lawsuit against OpenAI and its CEO, Sam Altman? The Verge senior AI reporter, Hayden Field, can help you catch up.

Following its acquisition by Elon’s other company, xAI is now being referred to as SpaceXAI. Presumably this is only the start of the brand synergy to come.

In Wednesday’s annoucement of its compute partnership with Anthropic, the company formerly known as xAI referred to itself as “SpaceXAI.” It was the first time I had seen that name, and while I don’t think it’s a good one, it made some sense following SpaceX’s acquisition of xAI.

Brockman said that focusing on the game was his idea, in a project worked on by several people, later explaining that DeepMind was working on something similar with a different game but “had nothing” yet, contributing to their decision not to open-source the technology.

Just before they left, Jared Birchall’s testimony regarding the funding of the bid to buy OpenAI — the subject of last week’s drama — was struck.

In Brockman’s telling, Altman was around a lot more often than Musk. The gee-whiz energy here is off the charts, including a pre-launch story about the group being stuck in traffic for an hour and a half and not noticing because they were having such a good time.

From Sutskever’s texts to Brockman:

When Brockman was leaving Stripe, he told Altman “I’m thinking about doing an AI thing” and Altman said, “I’m also thinking about doing an AI thing” and “then we kept in touch.” They went to a dinner in Menlo Park — Musk arrived an hour late — to talk about AGI, then Brockman caught a ride home with Altman.

Asked what he does as president of OpenAI, that’s how Brockman responded. God I hate hearing millennial slang in the courtroom. Sooo I did a thing… for $30 billion.

“We very much have these AI models that are smart and capable but they’re not fully connected to the world,” Brockman says. “We as society are still figuring out how do we integrate these.” This is lol and also lmao.

When Musk left OpenAI he told Brockman that he was going to start an AGI competitor within Tesla. “The most important thing was that there was going to be a counterweight to Google/Deepmind,” Brockman said. Musk said there was “no hope — zero percent chance” at OpenAI. Musk also told Brockman that the work on AGI at Tesla would be secret because “the shareholders wouldn’t like it.”

Curious to see what they can recover from this testimony.

Look, correcting lawyers on whether they’ve dropped an article and saying things like “all those words are accurate so far” probably plays in a lot of places but this nitpicking doesn’t really cover you in glory in a courtroom. I get it! I am also obnoxious! But this kind of quibbling doesn’t help Brockman recover from the journal entries that make him look unreliable.

Cerebras, Stripe, CoreWeave, and Helion all appear on his financial disclosures. All four have deals with OpenAI. I see where this is going — probably a preview of what to expect with Altman.

It happened. Kind of a nothingburger, as Brockman said that the deal was “not really my focus area.” We are now back in his disclosures. OpenAI did a December 2025 deal with Cerebras, for $10 billion of chips — and Brockman had an investment. The deal increased Cerebras’ valuation to $23 billion. “Your equity in Cerebras became more valuable because of the transaction OpenAI did?” Brockman admits that’s possible.