Elon Musk announced on Friday that the social media platform X has been acquired by his xAI artificial intelligence company in a transaction valued at $33 billion, executed entirely through stock. Both businesses remain privately owned, which means they aren’t obligated to make their financial details public.
Musk shared on X that this merger aims to “unleash tremendous capabilities by combining xAI’s advanced AI proficiency with X’s extensive outreach.” According to Musk, xAI is valued at $80 billion, while X is pegged at $33 billion.
Musk, also the CEO of Tesla and SpaceX and an advisor to former President Donald Trump, bought the platform when it was still known as Twitter for $44 billion in 2022. Following the acquisition, he reorganized the company’s workforce and made significant alterations to its policies on hate speech, misinformation, and user verification, eventually rebranding it as X.
He introduced xAI a year afterward.
“Today, we are formally combining xAI with X, integrating our data, models, computing resources, distribution, and talent,” Musk posted on X. “This fusion is set to unlock immense potential by fusing xAI’s sophisticated AI capabilities with X’s broad audience. Together, we will provide more intelligent and meaningful experiences to billions, staying committed to our mission of truth-seeking and knowledge advancement.”
Currently, it remains uncertain whether this acquisition will affect X users. xAI has already been leveraging data from posts made by X users for training its AI models, and paying users on X have access to the platform’s AI chatbot, Grok. Non-paying users can interact with Grok, albeit limited to asking 10 questions every two hours.
Moreover, the initial publication of this story was on March 28, 2025, which was later revised on March 29, 2025. This update was necessary to clarify that Grok had been accessible to non-paying X users, albeit with limitations, contrary to the previous statement that it was only available to paid subscribers.
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