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Elon Musk’s OpenAI to battle in Dota 2 World Championship video game tournament

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OpenAI, a research lab co-founded by Elon Musk, has developed a new breed of AI agents that are capable of playing Dota 2, a complex strategy game, in 5-on-5 multiplayer matches. OpenAI’s new bots have so far been able to beat amateur and semi-professional teams. With this accomplished, the research lab is now looking to bring its bots to The International, a prolific Dota 2 tournament, this coming August.

The new bots go by the name of OpenAI Five, a reference to the number of neural networks working together in the team. To train the neural networks, the AI has been playing roughly 180 years worth of gameplay every day using reinforcement learning. This enables the AI to learn the intricacies of the game, considering that it is far more complicated than board games like Chess and Go. Dota 2, for example, involves hiding data from players, preventing the system from perceiving the entire playing field at a given time.

The hardware employed by the research lab to train OpenAI Five is impressive. The five neural networks train through a scaled-up version of Proximal Policy Optimization running on 256 GPUs and 128,000 CPU cores. The same setup was adopted in a much smaller scale last year when OpenAI rolled out an artificial intelligence system that proved capable of beating the best Dota 2 players in the world in 1-on-1 matches.

Currently, however, OpenAI Five can only play the game with several restrictions. For one, the AI system can only use five of the 115 heroes available in the game. Skills such as Invisibility, Summons, and the placement of wards are also disabled. The research lab, however, hopes that through time, the neural networks would be able to play the game without any restrictions at all.

As could be seen in a recent video shared by the research lab, OpenAI Five is actually being received well by the Dota 2 community. Professional Dota 2 player Blitz, for one, noted that the bots are adopting strategies that are incredibly effective. In a match against OpenAI Five, Blitz, together with four employees of the research lab, put up a fight before getting dominated by the articificial intelligence. In a statement after the game, Blitz sheepishly stated that the bots capitalized on every small error he made during the match.

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“I think the team fight aspect of the bot(s) was excellent. It didn’t mess up. When it came to coordination, it was some of the best pure team fighting because it felt like I was getting hammered every single time I made a mistake. I feel like normal humans don’t do that,” the professional Dota 2 player said.

So what’s the secret behind OpenAI Five? In a statement to The Verge, OpenAI CTO Greg Brockman noted that unlike human players, the bots have “no ego” when they play the game. The teamwork aspect of the bots was also trained by allowing them to work individually at first, then encouraging them to work together.

“The bots are totally willing to sacrifice a lane or abandon a hero for the greater good. For fun, we had a human drop in to replace one of the bots. We hadn’t trained them to do anything special, but he said he just felt so well-supported. Anything he wanted, the bots got him,” Brockman said.

Ultimately, Brockman is encouraged by OpenAI Five’s development so far. The research, after all, is motivated by the idea that if AI systems can be trained to perform complex tasks such as learning a game as intricate as Dota 2, it could eventually be used to solve equally complex real-world challenges. Some examples of real-world applications could be designing and managing a city’s transport structure, or the logistics of a massive business.

“This an exciting milestone, and it’s really because it’s about transitioning to real-life applications. If you’ve got a simulation of a problem and you can run it large enough scale, there’s no barrier to what you can do with this,” he said.

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Elon Musk

Elon Musk confirms xAI’s purchase of five 380 MW natural gas turbines

The deal, which was confirmed by Musk on X, highlights xAI’s effort to aggressively scale its operations.

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Credit: xAI/X

xAI, Elon Musk’s artificial intelligence startup, has purchased five additional 380 MW natural gas turbines from South Korea’s Doosan Enerbility to power its growing supercomputer clusters. 

The deal, which was confirmed by Musk on X, highlights xAI’s effort to aggressively scale its operations.

xAI’s turbine deal details

News of xAI’s new turbines was shared on social media platform X, with user @SemiAnalysis_ stating that the turbines were produced by South Korea’s Doosan Enerbility. As noted in an Asian Business Daily report, Doosan Enerbility announced last October that it signed a contract to supply two 380 MW gas turbines for a major U.S. tech company. Doosan later noted in December that it secured an order for three more 380 MW gas turbines.

As per the X user, the gas turbines would power an additional 600,000+ GB200 NVL72 equivalent size cluster. This should make xAI’s facilities among the largest in the world. In a reply, Elon Musk confirmed that xAI did purchase the turbines. “True,” Musk wrote in a post on X. 

xAI’s ambitions 

Recent reports have indicated that xAI closed an upsized $20 billion Series E funding round, exceeding the initial $15 billion target to fuel rapid infrastructure scaling and AI product development. The funding, as per the AI startup, “will accelerate our world-leading infrastructure buildout, enable the rapid development and deployment of transformative AI products.”

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The company also teased the rollout of its upcoming frontier AI model. “Looking ahead, Grok 5 is currently in training, and we are focused on launching innovative new consumer and enterprise products that harness the power of Grok, Colossus, and 𝕏 to transform how we live, work, and play,” xAI wrote in a post on its website. 

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Elon Musk

Elon Musk’s xAI closes upsized $20B Series E funding round

xAI announced the investment round in a post on its official website. 

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Credit: xAI

xAI has closed an upsized $20 billion Series E funding round, exceeding the initial $15 billion target to fuel rapid infrastructure scaling and AI product development. 

xAI announced the investment round in a post on its official website. 

A $20 billion Series E round

As noted by the artificial intelligence startup in its post, the Series E funding round attracted a diverse group of investors, including Valor Equity Partners, Stepstone Group, Fidelity Management & Research Company, Qatar Investment Authority, MGX, and Baron Capital Group, among others. 

Strategic partners NVIDIA and Cisco Investments also continued support for building the world’s largest GPU clusters.

As xAI stated, “This financing will accelerate our world-leading infrastructure buildout, enable the rapid development and deployment of transformative AI products reaching billions of users, and fuel groundbreaking research advancing xAI’s core mission: Understanding the Universe.”

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xAI’s core mission

Th Series E funding builds on xAI’s previous rounds, powering Grok advancements and massive compute expansions like the Memphis supercluster. The upsized demand reflects growing recognition of xAI’s potential in frontier AI.

xAI also highlighted several of its breakthroughs in 2025, from the buildout of Colossus I and II, which ended with over 1 million H100 GPU equivalents, and the rollout of the Grok 4 Series, Grok Voice, and Grok Imagine, among others. The company also confirmed that work is already underway to train the flagship large language model’s next iteration, Grok 5. 

“Looking ahead, Grok 5 is currently in training, and we are focused on launching innovative new consumer and enterprise products that harness the power of Grok, Colossus, and 𝕏 to transform how we live, work, and play,” xAI wrote. 

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Investor's Corner

Tesla gets price target bump, citing growing lead in self-driving

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Credit: Tesla

Tesla (NASDAQ: TSLA) stock received a price target update from Pierre Ferragu of Wall Street firm New Street Research, citing the company’s growing lead in self-driving and autonomy.

On Tuesday, Ferragu bumped his price target from $520 to $600, stating that the consensus from the Consumer Electronics Show in Las Vegas was that Tesla’s lead in autonomy has been sustained, is growing, and sits at a multiple-year lead over its competitors.

CES 2026 validates Tesla’s FSD strategy, but there’s a big lag for rivals: analyst

“The signal from Vegas is loud and clear,” the analyst writes. “The industry isn’t catching up to Tesla; it is actively validating Tesla’s strategy…just with a 12-year lag.”

The note shows that the company’s prowess in vehicle autonomy is being solidified by lagging competitors that claim to have the best method. The only problem is that Tesla’s Vision-based approach, which it adopted back in 2022 with the Model 3 and Model Y initially, has been proven to be more effective than competitors’ approach, which utilizes other technology, such as LiDAR and sensors.

Currently, Tesla shares are sitting at around $433, as the company’s stock price closed at $432.96 on Tuesday afternoon.

Ferragu’s consensus on Tesla shares echoes that of other Wall Street analysts who are bullish on the company’s stock and position within the AI, autonomy, and robotics sector.

Dan Ives of Wedbush wrote in a note in mid-December that he anticipates Tesla having a massive 2026, and could reach a $3 trillion valuation this year, especially with the “AI chapter” taking hold of the narrative at the company.

Ives also said that the big step in the right direction for Tesla will be initiating production of the Cybercab, as well as expanding on the Robotaxi program through the next 12 months:

“…as full-scale volume production begins with the autonomous and robotics roadmap…The company has started to test the all-important Cybercab in Austin over the past few weeks, which is an incremental step towards launching in 2026 with important volume production of Cybercabs starting in April/May, which remains the golden goose in unlocking TSLA’s AI valuation.”

Tesla analyst breaks down delivery report: ‘A step in the right direction’

Tesla has transitioned from an automaker to a full-fledged AI company, and its Robotaxi and Cybercab programs, fueled by the Full Self-Driving suite, are leading the charge moving forward. In 2026, there are major goals the company has outlined. The first is removing Safety Drivers from vehicles in Austin, Texas, one of the areas where it operates a ride-hailing service within the U.S.

Ultimately, Tesla will aim to launch a Level 5 autonomy suite to the public in the coming years.

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