The WSJ has learned about the detrimental impact of the Trump-Musk conflict on investments in the xAI startup

American entrepreneur Elon Musk's plans to develop his own startup and raise $5 billion in the field of artificial intelligence (AI) xAI may not come to fruition due to a conflict with US President Donald Trump. This was reported on June 6 by The Wall Street Journal (WSJ).

As noted in the publication, on Thursday, June 6, the American financial conglomerate Morgan Stanley, which plans to allocate $ 5 billion for the development of the Grok chatbot, invited a group of executives from the "fast-burning money" startup xAI to a meeting. It was planned that the allocated amount would be invested in the construction of the company's data centers.

However, during the negotiations, investors witnessed the emergence of a dispute between Musk and Trump on social media, which "caused concern among bankers."

The interlocutors of the publication reported that earlier, after the victory of US President Donald Trump, the potential of xAI increased in the eyes of potential creditors.

Remove Mask: conflict with Trump will hit the billionaire's business and the reputation of the United States

In just one day of confrontation, the owner of Tesla lost $34 billion.

On June 3, Musk criticized the draft budget proposed by the Trump administration, calling it a disgusting abomination. On June 5, Musk publicly supported the idea of impeaching Trump. The president, in turn, wrote that terminating contracts with Musk is the easiest way to save money in the state budget. At the same time, Tesla shares fell sharply.