By Ricardo Lezama 
Businessman Elon Musk has announced the sale of X, formerly known as Twitter, to xAI, his artificial intelligence company. The deal was closed for $45 billion, a figure that includes $12 billion in debt, and slightly exceeds the amount Musk paid for the platform in 2022.
The announcement was made directly through his official account on X, where he explained that the merger aims to combine the social network’s reach with the technological capabilities of his AI firm:
“The future of xAI and X are intertwined. Today we are officially taking the step to combine data, models, computing power, distribution, and talent. This combination will unlock immense potential by merging xAI’s advanced AI capabilities and expertise with X’s massive reach.”
Musk also revealed that the estimated value of the resulting company stands at $80 billion. According to his statement, this integration will enable the development of “smarter and more meaningful experiences” for users.
For now, no immediate changes have been implemented on the platform. However, Grok—the chatbot developed by xAI—is already operational and has been integrated into X’s interface as part of its artificial intelligence expansion strategy.
@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).
— Elon Musk (@elonmusk) March 28, 2025
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…
Regarding its financial trajectory, X has undergone several phases since its acquisition. During this period, measures were taken such as laying off 80% of the workforce in what was formerly Twitter, modifying the verification system, and reactivating previously suspended accounts. These decisions led to the withdrawal of several key advertisers too.
In contrast, recent months have seen a partial recovery in commercial interest. Companies like Amazon and Apple have resumed their advertising campaigns on X after the platform decided to exclude accounts associated with extremist content from its ad program. This recovery has allowed some creditors to sell X’s debt bonds at 97% of their nominal value, albeit under strict financial conditions.
Furthermore, X’s increased valuation has been driven by its connection to xAI. According to Bloomberg reports, the artificial intelligence company was seeking a valuation of $75 billion in a recent funding round, which strengthened market perception of its growth potential.
Prior to the sale, talks were also reported regarding potential investments that would have valued X at $44 billion. Nevertheless, the decision was made to proceed with integration into xAI. So far, no details have been disclosed about the reasons behind this choice over other financial alternatives.
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In parallel with this transaction, Musk took on a role within the U.S. government structure, having been appointed a special employee in the Department of Government Efficiency under President Donald Trump’s administration. This development raised questions about how he would divide his attention among the multiple companies he leads.
Following this merger, a centralization of resources and strategies is expected, aimed at boosting xAI’s projection in the tech industry. In this regard, Musk has also expressed interest in competing with other firms in the sector, such as OpenAI. Earlier this year, he led an attempt to acquire the company behind ChatGPT for nearly $100 billion.
Although no immediate operational plans have been detailed, the integration is expected to allow xAI to distribute its models and developments to a global audience using X’s infrastructure and reach.
On the political and communication front, the platform has also been used by Musk to disseminate announcements related to his role in government. Since Donald Trump’s return to the presidency, X has served as a key channel for following official activities, reinforcing its position within the institutional communication ecosystem.