Saudi Arabian AI Firm Humain Invests $3B in Elon Musk’s xAI
Saudi Arabian artificial intelligence (AI) company, Humain, announced on February 18, 2026, a significant investment of $3 billion in Elon Musk’s xAI. This move deepens the ties between the kingdom and the tech billionaire, marking a significant step in Saudi Arabia’s push to become a global AI powerhouse. The investment was made as part of xAI’s Series E funding round, just before its acquisition by SpaceX.
The deal positions Humain as a significant minority shareholder in xAI. Following the acquisition, Humain’s holdings were converted into SpaceX shares. The combined SpaceX-xAI entity is now valued at an impressive $1.25 trillion. This investment builds on a partnership announced in November 2025, when Humain and xAI committed to a joint venture. The venture aimed at developing 500 megawatts of AI data center infrastructure in Saudi Arabia and deploying xAI’s Grok models throughout the kingdom.
Backed by Saudi Arabia’s Public Investment Fund and chaired by Crown Prince Mohammed bin Salman, Humain was created to propel the kingdom’s AI ambitions. This is part of a broader effort to diversify the economy away from oil. Humain has been actively investing, previously backing AI video-generation startup Luma AI. It has also formed joint ventures with AMD and Cisco Systems to build data center capacity. The xAI investment represents Saudi Arabia’s strategy to leverage its financial resources and cheap electricity to become a major player in the global AI infrastructure race.
Source: Bloomberg