by Anya Zhukova from Techreport on (#6XVCK)
xAI's $5B debt deal is politically exposed: Elon Musk's AI startup is raising $5B through convertible debt to fund massive infrastructure projects - but the funding faces turbulence due to rising political tensions.Trump - Musk fallout is spooking investors: What started as a public feud has turned into a financial risk, with xAI's debt price dropping and yields climbing as investors worry about regulatory blowback.Musk's vision for Open AI faces new threats: Musk originally launched xAI to counter Big Tech's closed AI systems with a more 'truth-seeking' approach. Now that vision is vulnerable to political grudges, not just market forces.Politics are becoming a bottleneck for innovation: As AI becomes critical infrastructure, its future increasingly depends on political favor. xAI shows how quickly open innovation can become collateral in a power struggle.The post Trump's Feud With Musk Could Derail xAI's $5B Deal - And the Future of Open-Source AI appeared first on Techreport.