Elon Musk’s artificial intelligence company xAI has acquired the tech billionaire’s social media platform X in a blockbuster deal that values X at $33 billion.
The Tesla and SpaceX CEO made the announcement on the social media platform on Friday and said the deal was an all-stock transaction that will unlock immense potential by blending xAI’s advanced AI capability and expertise with X’s massive reach.
He said the combination values xAI at $80 billion and X at $33 billion, or $45 billion less than its $12 billion debt.
Musk, the world’s richest man, purchased X, formerly known as Twitter, for $44 billion in 2022 to roll back censorship on the platform while also stating that it was underutilized.
“The combined company will deliver smarter, more meaningful experiences to billions of people while staying true to our core mission of seeking truth and advancing knowledge,” Musk wrote.
“This will allow us to build a platform that doesn’t just reflect the world but actively accelerates human progress.”
He wrote that X is the digital town square where more than 600 million active users go to find the real-time source of ground truth.
“In the last two years, has been transformed into