Elon Musk Sells X to Own AI Company for $33 Billion

Elon Musk has announced that his artificial intelligence startup, xAI, has acquired X—formerly known as Twitter—in an all-stock deal valuing the social media platform at $33 billion.

Musk shared the news in a post on X, explaining that the move will integrate the social media giant with xAI to enhance AI-driven experiences.

"Since its founding two years ago, xAI has rapidly become one of the leading AI labs in the world," he wrote. "X is the digital town square where more than 600 million active users go to find the real-time source of ground truth." Musk went on to state that xAI was valued at $80 billion, and X at "$45B less $12B debt."

The merger comes just over a year after xAI launched its AI chatbot, Grok, on X. Musk stated that the integration will allow the combined company to leverage data, computing power, and AI models.

"xAI and X's futures are intertwined," he explained. "The combined company will deliver smarter, more meaningful experiences to billions of people while staying true to our core mission of seeking truth and advancing knowledge. This will allow us to build a platform that doesn't just reflect the world but actively accelerates human progress."

X CEO Linda Yaccarino supported the move, reposting Musk's announcement and adding, "The future could not be brighter."

Musk has recently encountered difficulty with Grok, who named his as "top misinformation spreader," has recently said the billionaire "likely violates federal law," and fact-checked him until programmers disabled the chatbot's ability to respond to questions about Elon Musk or President Donald Trump.

With this acquisition, Musk continues to push forward his vision of integrating AI with social media, signaling yet another transformation for the platform he bought in 2022.