Elon Musk Denies Report Of xAI Licensing Talks With Tesla
The Wall Street Journal had reported that under the proposed agreement, Tesla would incorporate xAI’s models into its Full Self-Driving (FSD) software and use xAI’s expertise to develop features like a voice assistant
Elon Musk has denied a report suggesting that his artificial intelligence startup, xAI, is in discussions to license its technology to Tesla in exchange for a share of future revenue. The Wall Street Journal had reported that Tesla was considering using xAI’s AI models to enhance its driver-assistance and full self-driving (FSD) technologies, and potentially share revenue from these innovations with xAI.
In response to the report, Musk posted on his social media platform X (formerly Twitter), refuting the claims and stating that while Tesla has benefited from discussions with xAI engineers, there is no intention to license xAI’s technology. Musk described the report as "not accurate," clarifying that Tesla does not need to license anything from xAI.
The Journal’s report also suggested that xAI could assist in developing additional features for Tesla, such as a voice assistant for its electric vehicles and software for its humanoid robot, Optimus. According to the report, any potential revenue-sharing agreement would depend on the extent to which Tesla relied on xAI’s technology versus its own.
In July, Musk mentioned a potential $5 billion investment in xAI, which he and the Tesla board were considering. Despite these discussions, Musk has maintained that there is no current licensing agreement or revenue-sharing arrangement with xAI.