xAI, Elon Musk's 10-month-old competitor to the AI phenom OpenAI, is raising $6 billion on a pre-money valuation of $18 billion, according to one trusted source close to the deal. The deal — which would give investors one quarter of the company — is expected to close in the next few weeks unless the terms of the deal change.

The deal terms have changed once already. As of last weekend, Jared Birchall, who heads Musk's family office, was telling prospective investors that xAI was raising $3 billion at a $15 billion pre-money valuation. Given the number of investors clamoring to get into the deal, those numbers were quickly adjusted. 

Says our source, "We all received an email that basically said, 'It's now $6B on $18B, and don't complain because a lot of other people want in."