Elon Musk’s artificial intelligence startup, xAI, has officially acquired X—the social media platform formerly known as Twitter—in an all-stock transaction valued at $45 billion, including debt.
Announcing the acquisition on X, Musk emphasized the deep synergy between the two companies, stating, “xAI and X’s futures are intertwined. Today, we officially take the step to combine the data, models, compute, distribution, and talent.” The merger positions the combined entity at an estimated $80 billion valuation, marking a significant shift in the integration of AI within digital communication.
Founded in 2023, xAI has rapidly expanded its influence in the artificial intelligence sector, recently securing $6 billion in investment. The acquisition signals Musk’s vision of creating a more AI-driven social media ecosystem, leveraging machine learning models to enhance user experience, content moderation, and personalized engagement.
With this latest move, Musk continues to push the boundaries of AI’s role in everyday digital interactions, reinforcing X’s evolution beyond a traditional social media platform.