X sold — to Elon Musk's AI company

X proprietor Elon Musk introduced late Friday that the social media website had been offered … to xAI, Musk’s personal Synthetic Intelligence firm.

“xAI and X’s futures are intertwined,” Musk posted on X. “At this time, we formally take the step to mix the info, fashions, compute, distribution and expertise … this may permit us to construct a platform that doesn’t simply replicate the world however actively accelerates human progress.”

xAI bought X in an all-stock transaction, in accordance with the Hollywood Reporter. The AI firm is now valued at $80 billion, with X valued at $33 billion, which incorporates $12 million in debt.

Musk bought X, then often called Twitter, for $44 billion in October 2022.

Mashable Mild Pace

What does this imply to the X consumer? Probably that AI will probably be built-in extra totally into the X expertise. The social media website has aggressively pushed its generative AI chatbot, Grok, on customers because it launched in 2023. Musk additionally changed its terms of service shortly after the November election, requiring customers to conform to have AI educated on their tweets.

In asserting the sale, Musk claimed X has 600 million “lively customers.” He did not say “month-to-month lively customers,” which consultants consider to be almost half that number.

The now-private firm has shed hundreds of thousands of customers by a number of measures since Musk’s buy, and is projected to lose millions more in 2025.