New Delhi, Jan. 7 -- As artificial intelligence races toward ever-larger models and infrastructure footprints, the biggest competitive edge is no longer algorithms alone; it is access to capital and compute. Elon Musk's xAI has now placed a decisive bet on both.

The AI startup confirmed it has completed a $20 billion funding round, drawing investors that include Nvidia Corp., Valour Equity Partners, Qatar Investment Authority, Fidelity Management & Research Co., Stepstone Group, MGX, Baron Capital Group, and Cisco Systems Inc.'s investment arm. While the company did not disclose individual cheque sizes, the structure of the deal offers fresh insight into how AI infrastructure may be financed going forward.

"This financing will accelerat...