Tesla shareholders are set to decide on allocating funds towards artificial intelligence (xAI) at the upcoming annual meeting
Tesla's annual shareholder meeting is scheduled for November 6, 2025, and will be held both in person in Austin, Texas, and online. This meeting is of particular interest due to the potential involvement of xAI, the developer of Grok, in Tesla's operations.
While Tesla has not made a direct investment in xAI as of July 25, 2025, the possibility remains open for shareholder proposals and approval. Elon Musk, CEO of both Tesla and xAI, has explored a potential $5 billion investment by Tesla in xAI but has not committed to it, emphasising that the decision ultimately lies with Tesla shareholders.
SpaceX, another Musk-owned company, has already invested $2 billion into xAI, accounting for 40% of the $5 billion raised by Morgan Stanley for the AI company in late June. This investment underscores the strong internal support for xAI within Musk’s ecosystem.
Despite the lack of a direct investment, Musk has indicated that he envisions Grok being used in Tesla's humanoid robot, Optimus, demonstrating a strategic synergy between the two entities. In fact, Tesla has already included Grok in the latest over-the-air software update for its cars.
It is worth noting that xAI was recently merged with Musk's social media platform X, creating a combined entity valued at around $113 billion, with Grok integrated into X as well as Tesla vehicles and SpaceX functions. However, Musk has stated that a merger between Tesla and xAI is not in the cards.
The deadline for submitting a proposal for the shareholder meeting is July 31. Whether or not Tesla shareholders will propose an investment in xAI remains to be seen, but one thing is clear: the integration of xAI technology, such as Grok, into Tesla products is a significant development in the world of artificial intelligence and autonomous vehicles.
[1] Tesla-xAI Merger on the Table: Elon Musk Explores $5 Billion Investment (TechCrunch, July 20, 2025) [2] SpaceX Investment Boosts xAI Valuation to $113 Billion (Bloomberg, July 22, 2025) [3] Tesla's Annual Meeting: What to Expect (CNBC, July 23, 2025)
- The potential integration of Grok, an artificial-intelligence technology developed by xAI, into Tesla's humanoid robot, Optimus, signifies a significant development in the world of artificial intelligence and autonomous vehicles.
- Elon Musk, the CEO of both Tesla and xAI, has explored a potential $5 billion investment by Tesla in xAI, highlighting the strategic synergy between the two entities, and the potential role of artificial-intelligence in Tesla's operations.