Sat, 29 Mar 2025

Sat, 29 Mar 2025 Musk's xAI buys his social media platform X

The move could be aimed at protecting investors, who helped him buy purchase X, from losing money.

* Elon Musk's AI venture xAI has acquired his social media platform X (formerly Twitter) in an all-stock transaction valued at $80 billion and $33 billion respectively.
* The combined company will have a total value of $113 billion, with some investors holding shares in both companies.
* xAI has used data from X to train its models, and the chatbot Grok is a prominent feature on the platform.
* Analyst Paolo Pescatore says the move makes sense given the current trend of increased investments in AI, data centers, and computing.
* The acquisition comes as Musk is locked in a legal battle with OpenAI, which he co-founded in 2015, over its shift to a for-profit model.
* Musk has made an unsolicited $97.4 billion takeover bid for OpenAI, but the company has rejected it.
* Musk's business maneuvering coincides with his increased interest in politics, including serving as President Trump's right-hand and contributing millions to a state Supreme Court race in Wisconsin.
* A court has been asked to block Musk from distributing $1 million checks to voters in Wisconsin ahead of an election.
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