Elon Musk has transferred the rights to the social network X (formerly Twitter) to his startup xAI, which specializes in artificial intelligence. The deal, which values xAI at $80 billion and X at $33 billion, taking into account a $12 billion debt, aims to integrate technologies, data, and computational power between the companies.
This is reported by Finway
“The combined company will provide billions of people with a smarter and more meaningful experience, while remaining true to our core mission of seeking truth and advancing knowledge. This will enable us to create a platform that not only reflects the world but actively accelerates the progress of humanity,” the billionaire stated.
Negotiations regarding the transfer of ownership rights became known on March 28, 2025, coinciding with a court ruling that dismissed a lawsuit against Musk. The lawsuit accuses him of delaying the disclosure of information about investments in X, which allegedly led to financial losses for Twitter shareholders. It is worth noting that Musk acquired the social network in 2022 for $44 billion, after which he implemented a series of reforms and rebranded the company.
In announcing the sale of the social network, Musk did not comment on the ongoing court case. Investor Adam Cochran expressed the opinion that the billionaire exploited the inflated valuation of xAI to artificially lower the value of X, accusing Musk of deceiving investors in both companies.
A key development of xAI is the chatbot Grok, which is integrated into X. Musk claims that it outperforms the first version of ChatGPT from OpenAI in academic tests. A developer using the nickname Kif believes that Grok could already become a leading model in the field of artificial intelligence.
Despite the controversies surrounding the deal, analysts believe that transferring X under Musk’s control could significantly enhance xAI’s influence in the technology market. Recall that in February 2025, Elon Musk introduced Grok 3 from xAI.