Morgan Stanley is reaching out to a broader pool of investors to shore up demand for a $5 billion debt sale for Elon Musk’s artificial intelligence startup xAI Corp., a deal that offers a window into the fallout from the billionaire’s feud with US President Donald Trump.

While the online feud between Elon Musk and President Donald Trump seemed to drive traffic to Musk’s social media platform X (formerly Twitter), it could also create issues for the platform’s parent company xAI.

xAI’s $5B debt deal is politically exposed: Elon Musk’s AI startup is raising $5B through convertible debt to fund massive infrastructure projects – but the funding faces turbulence due to rising political tensions.