FILE PHOTO: A smartphone with a Neuralink logo displayed is placed on a computer motherboard in this illustration taken on May 15, 2024. REUTERS/Dado Ruvic/Illustration/File Photo
(Reuters) -Elon Musk's Neuralink said on Monday that it had raised $650 million in its latest funding round as its brain implant device enters clinical trials.
"This funding helps us bring our technology to more people — restoring independence for those with unmet medical needs and pushing the boundaries of what's possible with brain interfaces," Neuralink said.
It has started clinical trials for the device, which has a chip that processes neural signals that can be transmitted to computers or phones, in three countries.
According to the company, five patients with severe paralysis are using Neuralink to control digital and physical devices with their thoughts.
Neuralink received the U.S. Food and Drug Administration's "breakthrough" tag for its speech restoration device last month. It had received the same tag for its vision-restoring device last year.
The health regulator's breakthrough devices program is intended to provide patients and health care providers with timely access to medical devices by speeding up development, assessment and review, according to its website.
Musk said last Wednesday that he was leaving his role as special adviser to U.S. President Donald Trump to return his focus to his companies, including Tesla, SpaceX, xAI, Neuralink and social media platform X.
According to media reports on Monday, Morgan Stanley is shopping for a $5 billion debt package for xAI, with the artificial-intelligence company seeking a valuation of $113 billion in a share sale worth $300 million.
Neuralink closed its funding round with participation from key investors including ARK Invest, DFJ Growth, Founders Fund, G42, Human Capital, Lightspeed, QIA, Sequoia Capital, Thrive Capital, Valor Equity Partners and Vy Capital, the company said.
Semafor reported last month that the startup had raised $600 million in a deal valuing it at $9 billion before the new cash.
(Reporting by Puyaan Singh in Bengaluru; Editing by Pooja Desai)
