Elon Musk's xAI has talked with Tesla about a potential revenue-sharing deal. Under this proposal, Tesla would use xAI's AI models to enhance its Full Self-Driving software, with xAI contributing to other Tesla technologies. Discussions suggest a possible 50-50 revenue split for Tesla's FSD. Musk has denied parts of these reports, saying there is no need to license technology from xAI. xAI has already hired Tesla employees and diverted hardware, raising concerns about conflicts of interest.