Elon Musk sells X to his AI startup xAI in a $33 billion all-stock deal

Tech billionaire Elon Musk has sold the social media platform X to his AI company, xAI, in an all-stock deal valued at $33 billion. Both companies are privately held, meaning they are not required to disclose their finances publicly.  

Musk announced on X that the move will "unlock immense potential by blending xAI's advanced AI capability and expertise with X's massive reach."  

@xAI has acquired @X in an all-stock transaction. The combination values xAI at $80 billion and X at $33 billion ($45B less $12B debt).

Since its founding two years ago, xAI has rapidly become one of the leading AI labs in the world, building models and data centers at…

— Elon Musk (@elonmusk) March 28, 2025

He stated that the deal values xAI at $80 billion and X at $33 billion.

Musk, who is the CEO of Tesla and SpaceX and an advisor to former President Donald Trump, acquired the platform—then known as Twitter—for $44 billion in 2022. He overhauled its staff, revised its policies on hate speech, misinformation, and user verification, and rebranded it as X.

A year later, he launched xAI, which he founded in 2023 to compete with OpenAI.

“Since its founding two years ago, xAI has rapidly become one of the leading AI labs in the world, building models and data centers at unprecedented speed and scale,” Musk added.