Elon Musk is seeking to raise $1 billion for his xAI artificial intelligence company, hoping to compete with Open AI's ChatGPT.

Official documents submitted to the U.S. Securities and Exchange Commission on Tuesday stated that Musk's company, created earlier this year, has raised $134.7 million and plans to raise a total of $1 billion.

The documents also stated that solid agreements are already in place to raise the full amount, indicating that Musk may have arranged the funding for the entire $1 billion.

Last month, Musk unveiled his ChatGPT-like chatbot "Grok," which he said was trained on data from X (formerly known as Twitter), which he acquired a year ago for $4.4 billion.

The wealthy entrepreneur and founder of electric car company Tesla established xAI in July, recruiting researchers from OpenAI, Google DeepMind, Tesla, and the University of Toronto.

He stated that the company's mission is to "understand the true nature of the universe."

Since OpenAI's generative AI tool ChatGPT gained popularity a year ago, the technology has become a fiercely competitive field between tech giants Microsoft and Google, as well as startups like Anthropic and Stability AI.

OpenAI reportedly received a $13 billion commitment from Microsoft earlier this year.

After experiencing several days of turmoil at OpenAI last month, Musk's funding round began.

According to reports, OpenAI is planning an imminent stock sale with a valuation between $80 billion and $90 billion, but the sale has been delayed due to boardroom chaos.