Elon Musk’s xAI Acquires X in $33 Billion Merger

The integration of AI expertise and a massive social media user base aims to create smarter services and advance Musk's vision for human progress.

Elon Musk's AI startup xAI has finalized the acquisition of social media platform X in an all-stock deal valuing X at $33 billion and xAI at $80 billion.
The merger seeks to combine xAI’s advanced AI capabilities with X’s 600 million users to deliver smarter, more profitable services.
Musk described the merger as a step toward building a platform that actively accelerates human progress rather than merely reflecting the world.
xAI’s chatbot, Grok, will leverage data from X to provide responses Musk claims are less 'woke' and more humorous, positioning it as a competitor to ChatGPT.
X's advertising revenue is showing signs of recovery after previous declines tied to content moderation concerns, with projected growth of 17.5% in the U.S. this year.