Tesla To Invest $2B In Elon Musk’s xAI
Tesla xAI Investment Ignites Shareholder Controversy Tesla has invested $2 billion in Elon Musk's artificial intelligence startup xAI despite explicit shareholder opposition—a move that deepens ties between Musk's corporate empire and raises fresh questions about governance at the electric vehicle leader. The investment, disclosed in Tesla's latest shareholder letter, comes just weeks after xAI announced a massive $20 billion Series E funding round and signals an aggressive push to merge physical robotics with cutting-edge AI development under Musk's unified vision. Credit: Jaap Arriens/NurPhoto/ Getty Images Why Tesla Bet Big on xAI Despite the Vote In November 2025, Tesla shareholders faced a nonbinding proposal asking whether the board should authorize investments in xAI. While 1.06 billion shares voted in favor versus 916.3 million against, the measure technically failed. Tesla's bylaws count abstentions as votes against—a detail that sank the proposal despite appa…