Elon Musk says he sold X to his AI company for $33billion

nme.com:

Elon Musk‘s xAI artificial intelligence firm has acquired X – the social media platform formally known as Twitter – for $33billion (£25.5billion).The all-stock deal announced on Friday (March 28) values xAI at $80billion and X at $33billion.

Musk paid $44 billion for Twitter in 2022.“xAI and X’s futures are intertwined,” Musk wrote on X, announcing the transaction. “Today, we officially take the step to combine the data, models, compute, distribution and talent.”The move may be aimed at protecting the investors who helped purchase X from losing money.

Both X and xAI are privately held and share some major investors as well as significant resources.Per the Guardian, Musk did not ask investors for approval but told them that the two companies had been collaborating closely and the integration would ease his ability to train his AI model Grok – a prominent feature on X.xAI has used data from posts on X to train its models.“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,” Musk wrote.Musk’s xAI startup was launched less than two years ago and recently raised $10bn in a funding round that valued the company at $75bn, as per the Guardian.Musk bought Twitter in 2022 for $44bn.