Elon Musk sold social media platform X to his AI company, xAI, in a $33 billion all-stock deal. The merger is expected to combine xAI’s AI abilities with X’s vast reach, aiming to enhance user experiences. Though xAI currently utilizes X user data, the direct implications for users post-sale remain uncertain.
Elon Musk has officially sold the social media platform X to his artificial intelligence company, xAI, for a remarkable $33 billion in an all-stock transaction. Musk announced the deal on Friday, highlighting that both companies are privately controlled, freeing them from the obligation to publicly share financial details.
He emphasized that this acquisition will merge xAI’s cutting-edge artificial intelligence capabilities with X’s extensive user base, creating untapped possibilities. According to Musk, this sets a valuation of xAI at $80 billion and X at $33 billion. After purchasing Twitter for $44 billion in 2022, he rebranded it to X, drastically altering its staffing and policies.
In his statement on X, Musk shared, “xAI and X’s futures are intertwined… This combination will unlock immense potential by blending xAI’s advanced AI capability and expertise with X’s massive reach.” He believes the merger will enhance user experiences while remaining committed to the mission of truth and knowledge advancement.
While the future experience for X users remains uncertain, xAI is already leveraging X user data for training its AI models. Paying users gain access to Grok, an AI chatbot, while non-paying users have limits on their inquiries, asking only ten questions every couple of hours.
Elon Musk’s sale of X to xAI for $33 billion marks a significant shift in the social media and AI landscape. The amalgamation promises to create innovative user experiences, harnessing the strengths of both firms. While the immediate impact on users may be minimal, the potential for integrating advanced AI into social media is vast, signaling a transformative era for both X and xAI.
Original Source: abc7news.com
