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Elon Musk's xAI Acquires Social Media Platform X in $45 Billion Deal

The merger integrates advanced AI capabilities with X’s vast user base, aiming to create a transformative platform while raising concerns over data privacy and regulatory scrutiny.

Screens display the logos of xAI and Grok, the AI chatbot developed by Elon Musk's xAI, in this photo illustration taken on January 13, 2025, in Toulouse. Musk announced on March 28, 2025, that xAI is acquiring X (formerly Twitter) in a deal valuing it at $33 billion.
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FILE - Workers install lighting on an "X" sign atop the company headquarters, formerly known as Twitter, in downtown San Francisco, July 28, 2023. (AP Photo/Noah Berger, File)

Overview

  • Elon Musk announced that xAI has acquired X, formerly Twitter, in an all-stock transaction valuing xAI at $80 billion and X at $33 billion, including $12 billion in debt.
  • The merger seeks to combine xAI’s AI expertise with X’s extensive user-generated data to deliver personalized features and smarter user experiences.
  • Musk emphasized the potential of the combined company to accelerate human progress, while maintaining a mission of advancing knowledge and truth.
  • The integration raises concerns about data privacy, as X’s user data is expected to play a significant role in training xAI’s AI models.
  • Key financial specifics, including investor compensation and regulatory implications, remain unclear following the announcement.