Elon Musk’s artificial intelligence company, xAI, has officially acquired his social media platform, X (formerly Twitter), in an all-stock transaction valuing X at $33 billion. The merger aims to integrate xAI’s cutting-edge artificial intelligence capabilities with X’s vast global reach, marking a significant shift in Musk’s long-term vision for AI and social media.
Musk announced the acquisition on X, stating that the deal will enable the two companies to leverage each other’s strengths, including data, computational power, and distribution channels. He emphasized that the move is essential for creating a highly intelligent AI-driven platform that enhances user experiences and fosters innovation.
“This merger will allow xAI to tap into X’s massive user base while utilizing advanced AI technologies to revolutionize interactions on the platform,” Musk said.
The deal positions xAI at a valuation of $80 billion and aligns with Musk’s broader ambitions of developing artificial general intelligence (AGI). X CEO Linda Yaccarino expressed optimism about the acquisition, stating that it will pave the way for groundbreaking developments in AI-powered communication and content creation.
Industry experts believe the acquisition will bring significant changes to X, potentially introducing more AI-driven features, such as automated content moderation, smarter recommendations, and advanced chatbot integrations. The merger also strengthens Musk’s competitive position in the AI space, as xAI continues to rival major tech giants like OpenAI, Google DeepMind, and Anthropic.
This move mirrors Musk’s previous strategy of consolidating his business ventures, as seen in Tesla’s acquisition of SolarCity in 2016. With this latest acquisition, Musk is positioning xAI and X as a unified force in the rapidly evolving AI and social media landscape.
