Elon Musk’s xAI Just Raised $20 Billion While Grok Churns Out Sexual Deepfakes

Photo credit: UMA media via Pexels. Article by Bruce Gil. Gizmodo – January 7, 2026.

In a conveniently timed press release, Elon Musk’s artificial intelligence company xAI announced Tuesday that it has raised billions in new funding. The announcement comes amid backlash over the company’s Grok chatbot being used to alter users’ photos on X and generate sexually suggestive deepfakes. Despite the backlash, xAI said it raised $20 billion in its most recent funding round, blowing past its original $15 billion target. […]

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