Elon Musk sells X to AI company xAI in $33 billion deal

Tech billionaire Elon Musk has finalized the sale of social media platform X (formerly Twitter) to his artificial intelligence firm, xAI, in a landmark $33 billion all-stock transaction.

The deal aims to merge xAI’s advanced AI capabilities with X’s vast user base, promising enhanced engagement and personalized experiences.

Announcing the move on X, Musk stated that this strategic integration will “unlock immense potential”, leveraging AI to revolutionize the platform’s functionality.

The acquisition values xAI at approximately $80 billion, while X is now priced at $33 billion, significantly lower than the $44 billion Musk paid for Twitter in 2022.

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Since acquiring Twitter, Musk has overseen major policy shifts, workforce reductions, and content moderation changes.

As both X and xAI remain privately held, financial disclosures are not mandatory.

Musk reaffirmed that this collaboration will drive smarter, more meaningful user interactions, staying aligned with his vision of advancing knowledge and truth through AI.