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Elon Musk's AI Company xAI Buys Elon Musk's Social Media Platform X

Mar 28, 2025 - gizmodo.com
Elon Musk announced that his company xAI is acquiring the social media platform X, formerly known as Twitter, in an all-stock deal valuing xAI at $80 billion and X at $33 billion. Musk, who bought Twitter in October 2022 for $44 billion and rebranded it as X, founded xAI five months later as an artificial intelligence company. The acquisition aims to combine xAI's AI capabilities with X's extensive user base of 600 million active users, despite X's reputation for hosting far-right extremism and conspiracy theorists. Musk emphasized that the merger will enhance the delivery of smarter and more meaningful experiences while focusing on truth and advancing knowledge.

Musk's announcement highlighted the potential for growth by integrating data, models, and talent from both companies, despite criticisms of his past actions and statements. He expressed gratitude to the "hardcore" dedication of the staff at both xAI and X, framing the merger as a step toward building a platform that accelerates human progress. Musk's claims of seeking truth are contrasted by his history of controversial statements and actions, such as his recent unfounded promise to increase Social Security payments.

Key takeaways:

  • Elon Musk's company xAI is acquiring the social media platform X, formerly Twitter, in an all-stock deal valuing xAI at $80 billion and X at $33 billion.
  • Musk's changes to Twitter have led to it becoming a platform for far-right extremism, with previously banned figures like Nick Fuentes and Alex Jones being reinstated.
  • Musk aims to combine xAI's AI capabilities with X's reach to create a platform that accelerates human progress and seeks truth, despite controversies surrounding his statements and actions.
  • Musk expressed gratitude to the "hardcore" dedication of the staff at both companies, emphasizing this acquisition as just the beginning of their journey together.
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