Tesla Shareholders to Vote on xAI Investment in November

Tesla Inc. shareholders will vote in November to decide if the electric carmaker should invest in Elon Musk’s closely held artificial intelligence startup, xAI.

The planned vote, which was part of a shareholder proposal disclosed Friday in Tesla’s annual proxy statement, could further entwine Musk’s business empire. XAI, which Musk started in early 2023, already merged with his social networking company X in March. SpaceX, Musk’s private rocket business, also invested $2 billion into xAI earlier this year.

The board made no recommendation on whether shareholders should vote for or against the proposal.

Musk has previously voiced support for a ...