On Friday evening, Elon Musk announced the sale of the social network X to the company xAI, which he also founded, writes IZ. The value of the deal is $ 45 billion, which is slightly more than the amount Musk paid for Twitter in 2022. This is reported by CNN.
The transaction included $12 billion in debt, which affects the total value of Company X. Musk clarified that the current valuation of the social network is $33 billion. This is less than the original acquisition price, but significantly higher than the company's recent market valuations.
Explaining the meaning of the deal, Elon Musk said that the integration will allow xAI to use the audience, data, computing resources and models available at X. This, he said, will open up “incredible potential” for the further development of artificial intelligence.
While Musk hasn’t announced any radical changes to X, it is known that the Grok chatbot, developed by xAI, is already integrated into the platform. “ The combination of the two companies will make X smarter and more useful for users ,” he promised.
After Twitter acquired it in 2022, the platform faced criticism and a drop in its valuation. In October 2023, investment firm Fidelity valued X at just 20% of its original value. However, things have changed recently: the company has been gradually regaining its position, thanks in part to the growth of xAI, which is now valued at $75 billion.
Another positive sign was the return of major advertisers, including Amazon and Apple, who resumed campaigns on the X platform after previously withdrawing due to changes in the social network's policies.
Elon Musk is also increasing his presence in the artificial intelligence space. Earlier this year, he led a group of investors that tried to buy OpenAI for $100 billion, continuing his standoff with the company's CEO, Sam Altman.
The deal between X and xAI will allow Musk to combine key areas of his business. X is now officially part of xAI, creating the prerequisites for the large-scale development of artificial intelligence based on the platform.
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