Elon Musk’s xAI acquires X in $45 billion deal to merge AI with social media

Elon Musk’s AI company xAI acquires X in a $45 billion all-stock deal to merge AI with social media.

Elon Musk’s artificial intelligence company, xAI, has officially acquired X, the social media platform formerly known as Twitter, in a $45 billion all-stock deal.

The acquisition values xAI at $80 billion and X at $33 billion, effectively aligning the AI firm with Musk’s broader technology ecosystem.

Musk announced the deal on X, emphasizing its potential to revolutionize both artificial intelligence and digital communication. "xAI and X’s futures are intertwined," Musk stated. "This combination will unlock immense potential by blending xAI’s advanced AI capability and expertise with X’s massive reach."

The deal raises questions about the future of X’s operations and leadership, particularly for CEO Linda Yaccarino, who transitioned from television to lead the platform. Yaccarino acknowledged the deal in a post on X, writing, "@X + @xAI The future could not be brighter."

Musk, who also leads Tesla and SpaceX, has long advocated for integrating artificial intelligence into his companies. The acquisition could signal a transformation of X into a more AI-driven platform, leveraging xAI’s machine learning and data processing capabilities.

As the tech world watches closely, the deal cements Musk’s vision of a next-generation digital ecosystem, where social media, AI, and data analytics converge to reshape user experiences and global communication.