The artificial intelligence sector is entering a phase of consolidation, with large-scale mergers and capital-intensive infrastructure projects reshaping the competitive landscape.
As AI development increasingly depends on access to compute power and long-term infrastructure, investors are seeking exposure to platforms that combine software capabilities with physical assets.
HUMAIN, a Saudi Arabia-based artificial intelligence company backed by the Public Investment Fund (PIF), has invested $3 billion in xAI as part of the company’s Series E financing round. The transaction was completed shortly before xAI’s acquisition by SpaceX in early February.
As a result of the Series E investment, HUMAIN became a significant minority shareholder in xAI. Following the merger, its holdings were converted into shares in SpaceX, giving the company equity exposure to the combined entity.
“This investment reflects HUMAIN’s conviction in transformational AI and our ability to deploy meaningful capital behind exceptional opportunities where long-term vision, technical excellence, and execution converge, xAI’s trajectory, further strengthened by its acquisition by SpaceX, one of the largest technology mergers on record, represents the kind of high-impact platform we seek to support with significant capital,” said Tareq Amin, CEO of HUMAIN
The investment builds on a partnership announced at the US-Saudi Investment Forum in November 2025.
Under that agreement, HUMAIN and xAI committed to jointly develop more than 500 megawatts of next-generation AI data centre and compute infrastructure in Saudi Arabia. The partnership also includes the deployment of xAI’s Grok models in the country.
The Riyadh company states that its operating focus includes next-generation data centres, high-performance infrastructure and cloud platforms, advanced AI models, and applied AI solutions.m The Series E investment aligns with this broader strategy, linking capital deployment with infrastructure development and model integration.
The xAI acquisition by SpaceX represents one of the largest technology mergers in recent years.
The integration combines xAI’s artificial intelligence research and model development with SpaceX’s engineering and infrastructure capabilities. Financial terms of the merger were not disclosed in this announcement.
