Elon Musk Merges ‘X’ and ‘xAI’ in a Landmark All-Stock Deal
Elon Musk Confirms xAI’s Acquisition of X in a $33 Billion All-Stock Deal
Elon Musk revealed on Friday that his AI startup, xAI, is acquiring the social media platform X (formerly Twitter) in a major all-stock transaction. The deal values X at $33 billion, while xAI is estimated at $80 billion. The agreement also accounts for X’s $12 billion debt, marking a significant shift in Musk’s business empire.
Elon Musk Merges X and xAI in a Landmark $33 Billion Deal
Billionaire entrepreneur Elon Musk has announced that his AI startup, xAI, is acquiring the social media platform X (formerly Twitter) in an all-stock transaction. The deal values X at $33 billion, while xAI is estimated at $80 billion, incorporating X’s $12 billion debt.
Musk took to X to share the news, stating that the merger will combine xAI’s cutting-edge artificial intelligence with X’s global reach. “This union will unlock immense potential, integrating data, models, compute, and talent to create smarter, more meaningful experiences,” Musk said.
The move is expected to redefine both AI and social media, aiming to accelerate human progress while maintaining the mission of seeking truth and advancing knowledge.
In just two years, xAI has emerged as a top AI research lab, rapidly advancing in model development and data center expansion. The company first introduced the chatbot Grok and has now unveiled Grok 3, positioning itself as a strong competitor to China’s DeepSeek and Microsoft-backed OpenAI.
Reflecting Musk’s enthusiasm, X CEO Linda Yaccarino expressed her optimism about the merger, stating, “The future could not be brighter” as the two companies join forces.
