Elon Musk introduced that X, f.okay.a. Twitter, has been acquired by his personal xAI in an all-stock transaction.
The proprietor of each firms revealed on X that the merger now values xAI, the AI firm that developed Grok, at $80 billion USD, whereas X is at the moment valued at $33 billion USD after Musk bought it for $44 billion USD in April 2022. “xAI and X’s futures are intertwined. In the present day, we formally take the step to mix the information, fashions, compute, distribution and expertise,” he wrote.
Musk continued, “This mix will unlock immense potential by mixing xAI’s superior AI functionality and experience with X’s huge attain. The mixed firm will ship smarter, extra significant experiences to billions of individuals whereas staying true to our core mission of searching for fact and advancing data. It will permit us to construct a platform that doesn’t simply replicate the world however actively accelerates human progress.”
As Emerge studies, nevertheless, Constancy Investments’ valuation of its personal X stake in October 2024 estimated the platform’s general value at round $9.4 billion USD. The corporate’s valuation did improve by the tip of the 12 months, however was nonetheless down 77% from the unique buy value. Particulars surrounding Musk’s $33 billion USD valuation weren’t revealed. The publication provides that whereas the acquisition sees Musk promoting X to himself, its merger with xAI “may give the corporate entry to new traders, improved valuation, and a story pivot away from Twitter’s chaotic takeover” — particularly with its present $12 billion USD debt.
@xAI has acquired @X in an all-stock transaction. The mix values xAI at $80 billion and X at $33 billion ($45B much less $12B debt).
Since its founding two years in the past, xAI has quickly change into one of many main AI labs on this planet, constructing fashions and information facilities at…
— Elon Musk (@elonmusk) March 28, 2025
