Elon Musk, the world’d richest man and a close friend of Donald Trump, announced on Friday that his AI company, xAI has bought the social media platform X in a deal worth $45 billion. This includes $12 billion in debt. As a result, xAI is now valued at $80 billion, while X is worth $33 billion.
With this move, Musk wants to combine artificial intelligence with social media, bringing xAI’s advanced technology together with X’S large users base of more than 600 million people.
Musk’s Vision for xAI and X
Musk shared in a post on X that xAI and X’s futures are “intertwined” and that the companies will combine data, models, computing power, distribution, and talent. He added that the merged entity would be valued at $80 billion.
A Smarter Future
“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,” wrote Musk.
He also mentioned that the combined company will not just reflect the world but actively accelerate human progress.
Musk Praises xAI and X Teams
Musk, who leads the US Department of Government Efficiency (DOGE) and is also the CEO of Tesla, said, “I would like to recognize the hardcore dedication of everyone at xAI and X that has brought us to this point. This is just the beginning.”
Elon Musk’s AI startup, xAI, which was founded in2023, recently raised $6 billion in funding, making its value reach $40 billion, sources told Reuters.
In February, Musk, along with a group of investors, made a $97.4 billion offer to buy ChatGPT creator OpenAI. However, OpenAI turned down the offer, saying the company was not for sale.
What Users Can Expect from the xAI and X Integration
Better User Experience: Elon Musk has said that by combining xAI’s smart AI technology with X’s large number of users, people will have better and more meaningful interactions on the platform. This will change the way users engage with content and with each other.
New AI Features: Users will see new AI-driven features, such as content suggestions, personalized feeds, and better tools to keep things safe and friendly on the platform.
Privacy Concerns: Some experts worry that the merger might lead to more data collection to help train the AI, which could affect user privacy.
Changes to the Platform: Musk has shared his goal of turning X into an “everything app,” which could lead to big changes and new services on the platform.
Opportunities for Innovation: Industry experts believe this partnership could bring new, exciting ways to use AI on social media, changing how users engage and setting new standards for social platforms.
