Musk, the owner of both companies, said the deal values the startup AI company at $80 billion and the social media platform at $33 billion.

If you’re Elon Musk, you sell X to xAI. He did OK on the sale. In a Friday evening tweet on X, Elon Musk wrote that xAI had acquired X for $33 billion, or “$45 B less $12B debt.” In his tweet, Musk explained the rationale behind the deal.

While there was interest in how xAI's AI capabilities might integrate with X's user base—reported to be over 600 million active users—no merger between the two companies was publicized.Musk was vocal about the potential for AI to enhance user experiences on social media platforms.