Elon Musk has denied claims that Tesla and his AI startup, xAI, discussed revenue-sharing to allow Tesla to use xAI’s AI models. The Wall Street Journal had reported that under a proposed agreement, Tesla would integrate xAI’s models into its Full Self-Driving (FSD) software and other features like a voice assistant for Tesla vehicles and software for its humanoid robot Optimus.
Responding on his platform X (formerly Twitter), Musk called the summary of the report “not accurate.” He clarified that while Tesla has gained insights from discussions with xAI engineers that have helped advance FSD, there is “no need to license anything from xAI.” He added that xAI’s models are too large to run on Tesla’s vehicle computers.
Musk launched xAI as a rival to OpenAI, which he co-founded before departing. The startup, which reportedly sought $6 billion in funding, envisions its models improving technologies across Musk’s companies, including Tesla and SpaceX. Tesla shareholders have sued Musk, claiming he diverted resources and talent from Tesla to xAI, which they argue competes with Tesla.
