The merger will “combine the data, models, compute, distribution and talent” of the two companies, according to Elon Musk. In particular, Grok AI is expected to expand on X.

AI has acquired X (formerly Twitter) in an all-stock transaction. Despite the multibillion-dollar deal, however, the social platform is still facing an infringement suit from almost 20 music publishers.

Musk’s decision to merge the businesses is a win for X investors, who have endured more than two years of uncertainty since his takeover as advertisers and users abandoned the social network.

If you’re Elon Musk, you sell X to xAI. He did OK on the sale. In a Friday evening tweet on X, Elon Musk wrote that xAI had acquired X for $33 billion, or “$45 B less $12B debt.” In his tweet, Musk explained the rationale behind the deal.

The acquisition was an all-stock transaction for $45 billion with the combined company now valued at $80 billion, according to Elon Musk.

In a post on X, Musk stated, "The futures of xAI and X are interconnected. Today, we officially take the step to merge our data, models,

Elon Musk said his xAI artificial intelligence startup has acquired the X platform, which he also controls, at a valuation of $33 billion, marking a surprise twist for the social network formerly

Elon Musk made a shock announcement Friday that his artificial intelligence venture xAI has acquired his X social media platform in an all-stock transaction for $45 billion – a billion more than the mogul paid for the site in 2022.