Elon Musk’s AI company just bought X

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The artificial intelligence business of Elon Musk, Xai, bought its social media network, X, in an overall deal, billionaire Trump advisor announced on Friday.

“This combination will unlock a tremendous potential by mixing Xai’s advanced AI capability and expertise with the massive reach of X,” Musk wrote on X. “The combined company will provide smarter, more significant experiences to billions of people while staying true to our core mission to seek truth and promote knowledge.”

The transaction appreciates Xai at $ 80 billion and X alone at $ 33 billion, including its debt, far below Musk’s purchase price of about $ 44 billion for the social network in 2022.

X users already had access to Xai’s Grok Chatbot, and the social network has reportedly already had an interest in the AI business, but the merger could have new benefits for Musk.

Some have seen the merger as a way for the billionaire to help its investors recover the reduced value of their interests in X, which has dropped some investors by more than 70 percent since supporting Musk’s takeover.

The move is also likely to use how Musk competes with Openai, the artificial intelligence laboratory that he founded as a non-profit organization in 2015, and later left.

Merger can help restore the value of x investments and provide new leverage in the fight with Openai (AP Photo/Matt Rourke)

Since then, Musk has pursued legal action against the highly capitalized outfit and argued that it abandoned the original altruistic mission he helped, while also claiming he wanted to buy Openai.

The White House further issued the role of the White House’s role in Project Stargate, a recently announced joint partnership of Openai, Oracle and Softbank, with promises to invest up to $ 500 billion dollars to grow AI in America.

Apart from his chatbot product, Xai also develops a supercomputer project in Memphis.

Musk certainly hopes for an economic victory after a bruise for one of his other companies, Tesla, who saw both poor financial performance and vigilance attacks against its cars and traders amid the billionaire’s extremely visible role in the Trump administration.

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