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Elon Musk’s xAI is in talks to raise $10 billion, pushing its valuation to $75 billion, with backing from Middle Eastern investors like MGX, Kingdom Holding, QIA, and OIA. Meanwhile, Saudi Arabia’s answer to the Champs-Élysées — a grand boulevard in Diriyah — will be officially unveiled at FII 9, personally named by Crown Prince MBS. On the financial front, Janus Henderson is eyeing a Saudi expansion, drawn by the kingdom’s booming investment landscape. As Wall Street giants set up shop in Riyadh, Saudi Arabia’s financial and tech sectors are becoming global powerhouses.

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🚀 Elon Musk’s xAI Eyes $10 Billion Funding, Backed by Middle Eastern Investors

📰 What is it about?

• Elon Musk’s AI startup, xAI, is in talks to raise $10 billion, targeting a $75 billion valuation, per Bloomberg News.

• Existing investors, including Sequoia Capital, Andreessen Horowitz, and Valor Equity Partners, are expected to participate.

• The funding follows xAI’s $6 billion round, which previously boosted its valuation to $50 billion.

💡 Why it matters?

• Middle Eastern investors play a key role:

  • Saudi Arabia’s Kingdom Holding invested $400 million in xAI.

  • Qatar Investment Authority (QIA) and Oman Investment Authority (OIA) also hold stakes.

  • Abu Dhabi’s MGX participated in an earlier round.

• xAI is rapidly expanding its data centers to enhance AI model training capabilities.

• Musk claims xAI’s Grok 3 outperforms existing AI models and is set to launch within two weeks.

🔜 What’s next?

• xAI is close to finalizing a $5 billion deal with Dell to purchase AI servers powered by Nvidia’s GB200 chips.

• The additional funding will help xAI compete with OpenAI, Google DeepMind, and Anthropic.

• With growing backing from the Gulf region, xAI is poised to become a global AI powerhouse.

Markets

STEP Conference Dubai 2025: THE Ultimate Tech Festival is Back from February 19-20 at Dubai Internet City

The Step Conference Dubai 2025 is scheduled for February 19-20 at Dubai Internet City. Recognized as the largest tech festival in the Middle East and North Africa (MENA) region, the event anticipates over 8,000 attendees, more than 400 showcasing startups, and upwards of 100 participating companies.

The conference features four main tracks: Founders and Funders, AI Agents, LLMs & Cloud, Fintech for SMBs, AdTech 2.0, and PropTech. Attendees can engage in talks, workshops, and networking sessions tailored to these themes. Notable speakers include H.E. Alia Bint Abdulla Al Mazrouei, the UAE's Minister of State for Entrepreneurship.

Participating in Step Conference offers unparalleled opportunities to connect with industry leaders, investors, and innovators. The event provides a platform to explore the latest technological advancements, gain insights from experts, and foster partnerships that drive business growth.

Whether you're an entrepreneur seeking investment, a professional aiming to expand your network, or a tech enthusiast eager to stay abreast of industry trends, Step Conference Dubai 2025 is an event not to be missed.

Use our code SMASHI to get special price on your tickets.

We, Smashi Business, are the media partners for the event and we will be on the ground to bring you all the updates from the event. You can follow us here…

Saudi Arabia’s Champs-Élysées-Inspired Boulevard to be Unveiled at FII 9

📰 What is it about?

• Diriyah Co. CEO Jerry Inzerillo announced that the name of Saudi Arabia’s Champs-Élysées-inspired boulevardwill be revealed at the Future Investment Initiative (FII) 9 later this year.

• The 1.9-kilometer-long boulevard in Diriyah will include key attractions such as the Saudi Museum of Contemporary Art, an opera house, and the world’s largest Apple store.

• Crown Prince Mohammed bin Salman personally selected the name, with Inzerillo predicting it will gain global recognition within a few years.

💡 Why it matters?

• Massive cultural and tourism investment: The boulevard is part of Saudi Arabia’s $63.2 billion Diriyah Giga-Project, which aims to transform Diriyah into a global cultural and tourism hub.

• Key player in Vision 2030: Diriyah is central to the kingdom’s plans to diversify its economy and attract international visitors, with Saudi Arabia recently surpassing its target of 100 million tourists.

• Luxury and entertainment boom: Alongside the boulevard, Diriyah is developing golf courses, equestrian clubs, and luxury hotels to position itself as a top-tier global destination.

🔜 What’s next?

• The official name of the boulevard will be unveiled at FII 9, solidifying its place in Saudi Arabia’s ambitious urban development plans.

• Major attractions, including the King Salman Boulevard, museums, opera house, and luxury retail spaces, will open by the end of 2025.

• Diriyah will continue rolling out new projects every year leading up to the Riyadh Expo 2030, ensuring a steady stream of cultural and tourism developments.

Janus Henderson Eyes Expansion in Saudi Arabia as Investment Interest Grows

📰 What is it about?

• Janus Henderson Group Plc is exploring opportunities in Saudi Arabia as part of its plan to expand in the Middle East.

• CEO Ali Dibadj told Bloomberg that opening an office in Saudi Arabia is a “likely outcome”, though no official decision has been made.

• The firm recently appointed Saudi national Baraa Amir as Executive Director for the Middle East and Africa to help build its regional presence.

• Janus Henderson already manages assets in the low double-digit billions of dollars for sovereign wealth funds and family offices in the region.

💡 Why it matters?

• Saudi Arabia’s investment boom: The kingdom is attracting major financial institutions like Goldman Sachs, BlackRock, and State Street, which are setting up or expanding in Riyadh.

• Part of Saudi Vision 2030: The push to diversify the economy is creating lucrative opportunities for global asset managers looking to tap into local capital markets.

• Fixed income demand rising: Investors in the Middle East are increasingly interested in yield-generating assets, such as collateralized loan obligations (CLOs), a market now exceeding $1 trillion globally.

• Strategic positioning: Janus Henderson is leveraging its UAE presence and private capital division (formed after acquiring Kuwait’s NBK Capital’s private investments team) to deepen its foothold in the region.

🔜 What’s next?

• Janus Henderson is expected to expand its Saudi presence, with an office announcement likely in the near future.

• Increased local investments, particularly in fixed income and debt instruments, aligning with the region’s rising appetite for structured credit products.

• Further ETF and CLO launches could be on the horizon, making global investment structures more accessible to Middle Eastern investors.

• More international asset managers may follow suit, as Saudi Arabia continues to position itself as a financial hub for institutional investors.

🔍In other news…

• Saudi PIF Arm Looks Beyond Riyadh to Boost Tourism Ambitions.

• Aramco’s Venture Arm Invests in Telefonica-Backed AI Startup.

• Saudi PIF-Backed Developer Seeks $523 Million From IPO.

• ’AED18-billion UAE gaming market’: Casino operator Wynn addresses concerns around competition.

• Idex 2025: Naval and military firms head to Abu Dhabi for Middle East's biggest defence expo.

• How a stronger US dollar will affect Middle East start-up funding.

• F1 Abu Dhabi Grand Prix 2024 drives 34% net increase in international visitor spend, Visa data shows.

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