In a significant development, a prominent tech billionaire and Donald Trump advisor revealed on Friday that they have transferred ownership of the popular social media platform X (previously known as Twitter, which was acquired by the billionaire in a transaction over two years prior) to their own artificial intelligence company, xAI, through an all-stock deal valued at $33 billion (€30.5 billion). The privatization of both entities means their financial dealings will remain confidential. Elon Musk, also the head of SpaceX and Tesla, highlighted in a post on X that the integration of xAI’s advanced AI capability with X’s extensive user base will “unlock immense potential.” He affirmed their commitment to delivering innovative, impactful experiences while adhering to their core objectives of pursuing truth and enhancing knowledge. Despite the deal valuing xAI at $80 billion (€74 billion) and X at $33 billion (€30.5 billion), the implications of this consolidation for platform users remain uncertain. The tech magnate, who also serves as an advisor to former President Donald Trump, originally acquired what was then called Twitter for $44 billion (€40 billion) in 2022. He subsequently overhauled the platform’s policies, staffing, and name to its current designation, X. Musk also launched xAI, a pioneering AI firm, just a year later. Notably, xAI has rapidly achieved a leading status in the AI sector by swiftly developing models and data centers. Previously, in December, Musk announced ambitions to expand xAI’s supercomputer capabilities to compete with entities like OpenAI. It’s unclear whether this strategic repositioning will alter user experiences on X. However, xAI has been utilizing data from X’s user posts to train AI models, with a provision for subscribing users to access X’s own AI chatbot, Grok.

Source: https://www.euronews.com/next/2025/03/29/elon-musk-has-sold-social-media-site-x-to-his-own-ai-company-xai-for-33-billion