Elon Musk’s artificial intelligence company xAI is canvassing potential investors for a roughly $10 billion funding round that would value the company at about $75 billion, according to a person with knowledge of the matter.

Existing investors, including Sequoia Capital, Andreessen Horowitz and Valor Equity Partners are in talks to participate in the deal, the report said. xAI, Valor Equity Partners, Sequoia Capital and Andreessen Horowitz did not immediately respond to Reuters' requests for comment.

Dell Technologies is nearing a deal worth more than $5 billion to provide Elon Musk's xAI with servers optimized for artificial intelligence work, Bloomberg News reported on Friday, citing people familiar with the matter.

Dell Technologies Inc. (NYSE:DELL) is progressing in negotiations to finalize a deal with Elon Musk's artificial intelligence startup, xAI, according to a Friday report by Bloomberg. The deal, estimated to be worth over $5 billion,