Musk's xAI nears $20 billion capital raise tied to Nvidia chips, Bloomberg News reports

Oct 7 (Reuters) - Elon Musk's xAI is raising more financing than initially planned, including an equity investment from Nvidia NVDA.O, to bring its ongoing funding round to $20 billion, Bloomberg News reported on Tuesday, citing people with knowledge of the matter.

The financing, which includes equity and debt, will be tied to the Nvidia graphics processing units that xAI plans to use in Colossus 2, according to Bloomberg.

Reuters could not immediately verify the report.