Tesla and SpaceX CEO Elon Musk has confirmed that his artificial intelligence venture, xAI, has acquired X (formerly Twitter) in a $33 billion deal, aiming to unlock "tremendous potential" by combining xAI’s cutting-edge AI capabilities with the vast reach of the X platform.
According to Musk, xAI is now valued at $80 billion, while X is valued at $33 billion—$45 billion less than its debt, currently standing at $12 billion.
Musk, the world’s richest person, originally acquired Twitter in 2022 for $44 billion, with the intention of rolling back censorship on the platform and unlocking what he saw as underutilized potential.
“The combined company will deliver a more intelligent and meaningful experience to billions of people, while staying true to our core mission—pursuing truth and advancing knowledge,” Musk wrote.
xAI’s flagship product, Grok, is an AI chatbot already integrated into X for premium subscribers. It is positioned as a direct competitor to tools like ChatGPT (OpenAI), Gemini (Google), and Claude (Anthropic).
Musk co-founded OpenAI in 2015 alongside Sam Altman, Ilya Sutskever, Greg Brockman, and others. However, he parted ways with the company in early 2018 after failing to secure control as its majority shareholder and CEO.
