xAI Completes Acquisition of X in All-Stock Deal
xAI has acquired X in an all-stock transaction that values xAI at $80 billion and X at $45 billion, minus $12 billion in debt, resulting in a net valuation of $33 billion. As part of the deal, all shares of both companies will be exchanged for shares in a new holding company, xAI Holdings Corp, with Elon Musk serving as president.
Founded two years ago by Musk, xAI has focused on building foundational AI models and large-scale compute infrastructure. Until now, it has operated primarily as a research lab, but the acquisition signals a broader shift toward a holding structure that integrates AI efforts across Musk’s ventures.
Under the new structure, the aim is to combine X’s data and distribution with xAI’s technical resources and talent. The combination is positioned as a step toward unifying AI model development with large-scale real-time platforms—enabling tighter integration between tools, content, and underlying systems.
Sources:
• WSJ
• xAI Blog
• CNBC
