Elon Musk Sells X To xAI In $33 Billion All-Stock Deal; Details Inside
Musk shared in a post on X that the acquisition will “unlock immense potential by blending xAI's advanced AI capabilities with X's vast global reach"
Elon Musk announced on Friday that he has sold the social media platform X (formerly Twitter) to his own AI company, xAI, in an all-stock deal valued at $33 billion. Both companies are privately held, so they are not required to disclose their financial details publicly.
Musk shared in a post on X that the acquisition will “unlock immense potential by blending xAI's advanced AI capabilities with X's vast global reach.”
The deal values xAI at $80 billion and X at $33 billion. Musk, who also serves as CEO of Tesla and SpaceX and is an advisor to US President Donald Trump, acquired the platform, then known as Twitter, for $44 billion in 2022. Following the purchase, he significantly reduced the workforce, overhauled policies on hate speech, misinformation, and user verification, and rebranded the platform as X.
@xAI has acquired @X in an all-stock transaction. The combination values xAI at $80 billion and X at $33 billion ($45B less $12B debt).
— Elon Musk (@elonmusk) March 28, 2025
Since its founding two years ago, xAI has rapidly become one of the leading AI labs in the world, building models and data centers at…
A year after acquiring X, Elon Musk founded xAI, marking his next major venture into the artificial intelligence space.
“xAI and X's futures are intertwined. Today, we officially take the step to combine the data, models, compute, distribution and talent. This combination will unlock immense potential by blending xAI's advanced AI capability and expertise with X's massive reach,” Musk wrote on X.
“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,” he added.
Key Player In AI Industry
Musk has been actively positioning himself as a key player in the AI industry, a focus that has gained significant attention from both the Trump administration and the tech sector. Earlier this year, he spearheaded an investment group aiming to acquire ChatGPT creator OpenAI for nearly $100 billion, further intensifying his longstanding rivalry with OpenAI CEO Sam Altman.
While the exact benefits of the X acquisition for Musk’s AI ambitions remain unclear, the closer integration with X could provide xAI with a powerful platform to rapidly deploy its latest AI models and features to a vast, global audience.
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