Billionaire entrepreneur Elon Musk has announced the sale of his social media platform X, formerly known as Twitter, to his own artificial intelligence company, xAI. The deal, valued at $33 billion (€30.5 billion), is an all-stock transaction.
Both companies are privately owned, meaning their financial details remain undisclosed to the public. Musk, who also heads Tesla and SpaceX, stated that the move aims to merge AI expertise with X’s vast reach.
“xAI and X’s futures are intertwined. Today, we officially take the step to combine the data, models, compute, distribution, and talent,” Musk posted on X. He added that the combined entity would create “smarter, more meaningful experiences” while advancing knowledge and seeking truth.
Musk launched xAI in 2023, one year after purchasing Twitter for $44 billion (€40 billion) and rebranding it as X. He significantly altered the platform by reducing staff and modifying policies on hate speech, misinformation, and user verification.
Since its inception, xAI has become one of the world’s leading AI labs, rapidly building data centres and AI models. The company is also expanding its supercomputer ‘Colossus’ to compete with OpenAI, increasing its processing power for developing advanced AI technology.
It remains unclear if the acquisition will affect X users, as xAI already utilises data from the platform to train AI models. Paying users currently have access to its AI chatbot, Grok.
With xAI valued at $80 billion (€74 billion), this merger marks another bold step in Musk’s mission to integrate artificial intelligence with digital communication.Billionaire entrepreneur Elon Musk has announced the sale of his social media platform X, formerly known as Twitter, to his own artificial intelligence company, xAI. The deal, valued at $33 billion (€30.5 billion), is an all-stock transaction.
Both companies are privately owned, meaning their financial details remain undisclosed to the public. Musk, who also heads Tesla and SpaceX, stated that the move aims to merge AI expertise with X’s vast reach.
“xAI and X’s futures are intertwined. Today, we officially take the step to combine the data, models, compute, distribution, and talent,” Musk posted on X. He added that the combined entity would create “smarter, more meaningful experiences” while advancing knowledge and seeking truth.
Musk launched xAI in 2023, one year after purchasing Twitter for $44 billion (€40 billion) and rebranding it as X. He significantly altered the platform by reducing staff and modifying policies on hate speech, misinformation, and user verification.
Since its inception, xAI has become one of the world’s leading AI labs, rapidly building data centres and AI models. The company is also expanding its supercomputer ‘Colossus’ to compete with OpenAI, increasing its processing power for developing advanced AI technology.
It remains unclear if the acquisition will affect X users, as xAI already utilises data from the platform to train AI models. Paying users currently have access to its AI chatbot, Grok.
With xAI valued at $80 billion (€74 billion), this merger marks another bold step in Musk’s mission to integrate artificial intelligence with digital communication.
