CITIC Securities has identified xAI as a significant player in the global AI model industry, integral to SpaceX's "Aerospace-Connectivity-AI" strategy. The firm notes that xAI has established a "Compute-Data-Model-Application" closed loop, leveraging its Colossus cluster, X real-time data, Grok model, and Cursor developer entry. CITIC Securities projects that xAI's mid-term growth will primarily stem from compute leasing and Cursor, despite the current mismatch between its USD 12.7 billion infrastructure investment and less than USD 500 million in AI-native revenue.
The report highlights that xAI's compute leasing business, with an order scale of USD 80 billion, is expected to be the core growth driver. CITIC Securities remains optimistic about AI infrastructure vendors with strong order and delivery capabilities, as well as AI application investments that can achieve user growth and commercial value. The firm will continue to monitor commercial product developments, competitive dynamics among model vendors, and revenue and profit growth trajectories.
CITIC Securities Highlights xAI's Growth Potential in Compute Leasing and Cursor
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