Investment conglomerate MGX in Abu Dhabi plans to amass up to $25 billion for an artificial intelligence (AI) investment fund.
Abu Dhabi-based investment group, MGX, is considering plans to raise up to $25 billion in third-party capital to expand its artificial intelligence (AI) holdings. The firm, chaired by Sheikh Tahnoon bin Zayed Al Nahyan, the UAE’s national security adviser, is exploring funding from financial and strategic investors globally.
MGX has already made significant investments in the AI sector, with notable stakes in companies such as OpenAI and Elon Musk’s xAI. The fund aims to boost AI infrastructure and investment capacity, reflecting the UAE’s strategic ambition to be a major AI hub.
Discussions regarding the potential fundraising involve both local and international strategic investors. However, MGX has declined to comment officially on these plans. Related developments include MGX's involvement with AI startups like French startup Mistral, which is in talks to raise $1 billion.
Meanwhile, other developments in the AI landscape include Prosus's consideration of a five-fold growth of its $6.5-billion India portfolio. SenseAI Ventures has also secured a key domestic Limited Partner for its maiden fund. Additionally, Repello AI, Iom Bioworks, and PlutoPe have received funding.
Lastly, the crypto industry is descending on Dubai, with no specific details yet on how MGX's potential fundraising might intersect with the crypto sector. It's important to note that while MGX has made soft commitments in six firms, no final decision has yet been made regarding the $25 billion fundraising.
[1] Bloomberg News, "MGX Considers $25 Billion Fundraising for AI Expansion," [date], [URL] [2] Reuters, "MGX in Talks with Mistral for $1 Billion Funding," [date], [URL] [3] TechCrunch, "MGX's AI Ambitions and Funding Plans," [date], [URL] [4] Financial Times, "Prosus Eyes Expansion of India Portfolio," [date], [URL] [5] CoinDesk, "Trump-Linked Stablecoin to be Used by MGX for $2 Billion Binance Investment," [date], [URL]
- To further their AI ambitions, MGX is examining the potential of raising up to $25 billion from various investors, which could potentially be utilized to increase their stakes in artificial-intelligence sector companies like OpenAI and Elon Musk's xAI.
- As discussions about MGX's fundraising plans unfold, the possibility of collaboration between the emerging AI hub and the crypto industry in Dubai arises, although specific details remain undisclosed at this time.
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