Connect with us

News

Ark Invest sees potential in xAI as the world adopts more AI models

Ark’s new stake in xAI bets on Musk’s future plans. Will the newly merged companies deliver the next AI breakthrough?

Published

on

Credit: x.AI

Ark Invest reinvested in X Corp in Q1 2025 through its Ark Venture Fund, which converted into a position in xAI, Elon Musk’s artificial intelligence company.

In March, xAI acquired X, intertwining the two companies’ futures. The stock merger values xAI at $80 billion and X at $33 billion. After xAI acquired X, Elon Musk noted that the combined company would unlock “immense potential.” Ark Invest believes in Musk’s vision for xAI and X Corp.

“…the deal created a new combined entity called XAI Holdings Corp., a strategic union that integrates xAI’s cutting-edge foundational models with X’s massive user base of over 600 million strong to unlock a platform that blends real-time communication with AI-enhanced discovery, truth-seeking, and personalized knowledge delivery.

Advertisement

“We believe this merger will be a significant catalyst for consumer AI adoption and foundational model monetization,” Ark noted.

Musk is reportedly planning a valuation adjustment for xAI. CNBC’s David Faber noted in April that Musk hinted at a new funding round for his artificial intelligence startup during an investor call.

The merger supports Musk’s vision to transform X into an “everything app,” where people can communicate, make monetary transactions, catch up on news, and more. xAI is already working on providing financial services. It recently partnered with TWG Global and Palantir to integrate AI with financial services.

In addition, XAI Holdings also has X Money, a payment system that could rival Venmo, Zelle, and Apple Pay. X Corp. secured a Visa partnership in January and money-transmitter licenses in 42 states, including California, in September 2024.

Advertisement

X Money faces opposition in New York from Manhattan Democrats Assemblymember Micah Lasher and state Sen. Brad Hoylman-Sigal, who sent a letter Monday to the state’s Department of Financial Services, urging rejection of X Corp.’s money-transmitter license. The lawmakers cited Musk’s leadership as a risk to consumer data and financial infrastructure.

Ark’s investment in xAI underscores confidence in its AI-driven future, amplified by the XAI Holdings merger. As xAI leverages X’s platform to scale AI innovation, Ark’s stake positions it to benefit from a transformative shift in consumer AI and fintech, despite ongoing challenges.

Maria--aka "M"-- is an experienced writer and book editor. She's written about several topics including health, tech, and politics. As a book editor, she's worked with authors who write Sci-Fi, Romance, and Dark Fantasy. M loves hearing from TESLARATI readers. If you have any tips or article ideas, contact her at maria@teslarati.com or via X, @Writer_01001101.

Advertisement
Comments

News

Tesla Full Self-Driving v14 ‘Lite’ Release Notes: new capabilities and features

Published

on

(Credit: Megan Gale/Twitter)

Tesla released the Full Self-Driving v14 ‘Lite’ suite to owners of Hardware 3 or AI3 vehicles today, adding several new features to the vehicles that were once believed to be capable of unsupervised self-driving.

Now, Tesla has released this modified suite to older Tesla vehicles, adding plenty of new features and capabilities.

Here are the full release notes for the suite:

  • Distilled the intelligence from HW4 V14 into HW3. This allows HW3 to directly learn how to handle scenarios using HW4 V14 as a guide. This process unlocks the improvements that have been made to HW4 including Reinforcement Learning (RL) and offline models for HW3.
  • Improved both proactive and reactive responsiveness across a wide variety of categories including navigation handling, merges and forks, pedestrian interactions, traffic lights, and vehicle cut-in scenarios.
  • Improved general comfort in nominal scenarios through fewer false slowdowns, smoother steering and more consistent lane centering.
  • Introduced parking, unparking, and reversing capabilities.
  • Added Arrival Options for you to select where FSD should park: in a Parking Lot, on the Street, in a Driveway, or at the Curbside.
  • Speed Profiles are now available at all times, to further customize driving style preference.

These improvements, according to Tesla’s Head of AI, Ashok Elluswamy, help distill the driving behavior from AI4’s v14 series into both the camera and compute configurations of AI3.

Tesla Full Self-Driving v14 ‘Lite’ for older cars finally gets released

He added:

“It includes destination options and speed profiles on city roads, but more importantly significantly improved safety. We hope you’ll enjoy it, once the build ships wide.”

Tesla will continue to roll out the v14 Lite suite more widely in the coming weeks, the company said.

Continue Reading

News

Tesla Full Self-Driving v14 ‘Lite’ for older cars finally gets released

Published

on

tesla model 3 model y
Credit: Tesla Inc.

Tesla has finally released its Full Self-Driving v14 ‘Lite’ suite for older cars that equip the Hardware 3 or AI 3 chip, which have not been able to handle the newest versions of the company’s driver assistance software.

Tesla officially started releasing the v14 Lite suite to owners in the Early Access Program last night. The company’s Head of AI, Ashok Elluswamy, said that the rollout will continue over the next few weeks. The build distills the driving behavior from AI4’s v14 series into both the camera and compute configurations of an AI3 car.

It also includes a variety of new features that were available to AI4 cars running v14, including:

  • Start Self-Driving from Park
  • Arrival and Parking Options
  • Speed Profiles

The release is highly anticipated because those owners with AI3 vehicles were early adopters into the FSD platform and were promised that their cars would be capable of achieving Full Self-Driving.

However, Tesla CEO Elon Musk admitted during the company’s recent Q1 Earnings Call that these vehicles would not be capable of achieving unsupervised Full Self-Driving, which is what Tesla had originally said.

Owners were not pleased with this answer, or the idea that their commitment to buying the suite outright for thousands of dollars would not yield the ability to drive without operating the car. Tesla gave some solutions for this, including a discount on a new car, or an upgrade to an AI4 or AI5 self-driving computer and new, upgraded cameras.

Tesla owners do not seem pleased with these options, as they require giving the company more money.

Nevertheless, it is important to note that Tesla came through for owners here by releasing v14 Lite before the end of Q2, something it had promised owners during the previous Earnings Call. Tesla has had trouble keeping up with timelines, but this is a big achievement for the team.

Continue Reading

News

Tesla Q2 delivery consensus confirms this long-standing theory

Published

on

Credit: Joe Tegtmeyer/X

Tesla released what analysts believe the company will report in terms of deliveries and energy deployments for Q2, but the figures seem to confirm a long-standing theory on the company’s vehicle division.

For years, Tesla was just looked at as a car company. Now that it has established itself as a powerhouse in energy, AI, and tech as a whole, the company is now less hellbent on achieving quarterly growth, on a sequential basis, at least from a major standpoint.

Tesla topped out its annual deliveries in 2023 at 1.81 million, and in the two years since, the company has reported a decrease in deliveries for the entire 12-month term both times.

With Tesla delivering 358,023 cars in Q1, a 6.3 percent increase over Q1 2025, but falling short of Wall Street expectations at 365,000-370,000 units, the narrative around vehicle deliveries and their importance continued to change earlier this year. Some might say it is convenient, but others might say it is the typical evolution of a company that continues to change over time.

For Q2, Tesla’s delivery consensus estimates sit at 406,024 units, analysts believe. They were surveyed from Daiwa, DB, Wedbush, Cowen, Canaccord, Baird, Wolfe, BMP Paribas, Goldman Sachs, RBC, Evercore ISI, Barclays, Bank of America, Wells Fargo, Morgan Stanley, Truist, UBS, Jefferies, JPM, Needham & Co., HSBC, and William Blair.

Credit: Tesla

Tesla is also expected to report deployments of 13.8 GWh this quarter.

The change to Tesla’s overall narrative now leans less on vehicle deliveries and more on its other projects. Most notably, Tesla’s Robotaxi project has taken the priority over most of its other business ventures, and investors and the public are more concerned about the deployment of vehicles into the fleet, the operation of a driverless ride-hailing service, Cybercab production and operation, and expansion into new cities.

Tesla analyst realizes one big thing about the stock: deliveries are losing importance

This big narrative switch happened when Tesla indicated it was looking at making transportation a service by launching a ride-hailing service that will operate using Tesla’s Full Self-Driving suite. Once unsupervised operation begins, Robotaxi could be a new way for people to get around, all without a driver in their car.

Instead, they will rely on the billions of miles Tesla has accumulated from its real-world fleet.

It is important to note that Tesla remains significant in the automotive sector, and deliveries must continue as they have for years. Tesla still has a strong automotive business and needs to execute further on all facets to keep its investors happy.

Continue Reading