Elon Musk’s AI firm, xAI, has bought X, according to a post shared by Musk. In addition to their related names and proprietor, the businesses are already related via xAI’s chatbot Grok, which is built-in into X.
X was acquired by xAI via an all-stock transaction. “The mix values xAI at $80 billion and X at $33 billion ($45B much less $12B debt),” Musk writes. “xAI and X’s futures are intertwined.” The businesses plan on combining “knowledge, fashions, compute, distribution and expertise,” utilizing X’s attain as a social platform to unfold “xAI’s superior AI functionality.” The publish gives little element past that, however the motivations might be as monetary as they’re sensible.
X, then Twitter, was acquired by Musk in 2022 for $43 billion. xAI, like many main AI corporations, has been raising money as typically and as rapidly as doable. Combining the 2 corporations, apart from the fuzzy potential advantages social media posts may have for coaching AI, helps ease among the debt that Musk took on taking Twitter non-public. The billionaire pulled an identical stunt in 2016 with Tesla, when the automotive maker merged with SolarCity for $2.6 billion.
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