Elon Musk Sells X to xAI for USD 33 Bn in All-Stock Deal

Elon Musk has sold social media site X to his own xAI artificial intelligence company for $33 billion in stock, the billionaire announced.

Both companies are privately held, so they are not required to disclose their financial information to the public.

Musk stated in a post on X that the move will unleash enormous potential by combining xAI's advanced AI capability and expertise with X's massive scale. He stated that the deal values xAI at $80 billion and X at $33 billion. 

Musk, who is the CEO of Tesla and SpaceX as well as an advisor to President Donald Trump, purchased Twitter for $44 billion in 2022, gutted its staff, changed its policies on hate speech, misinformation, and user verification, and renamed the site X.

One year later, he launched xAI.

The futures of X and xAI are intertwined. Today marks the official start of the integration of data, models, compute, distribution, and talent. Elon Musk wrote on X that combining xAI's advanced AI capability and expertise with X's massive reach will unleash enormous potential.

The combined company will provide billions of people with smarter, more meaningful experiences while remaining true to our core mission of seeking the truth and advancing knowledge.