The 50-year-old funk singer was hospitalized at Cedars-Sinai Medical Center on Tuesday. He was admitted Monday after his right side became numb.
"He will be treated through medication. We're looking at a long recuperation," James publicist Steve Levesque said.
James, known for hits like Superfreak, was performing in Denver when the blood vessel popped Friday. After completing the show, he was seen by doctors who advised him to return home in Los Angeles for further evaluation.
Levesque said James' on-stage gyrations had taken a toll on his body.
"The doctor called it a result of 'rock 'n' roll neck,' the repeated rhythmic whiplash motion of the head and neck," he said.
The singer had hip replacement surgery earlier this year to repair damage done "from jumping around on stage and substance abuse," he said.
In 1996, James was freed from prison in California after serving more than two years for assaulting a woman.