Elon Musk Merges X with xAI, Signaling Deeper AI Integration

In a significant move, Elon Musk has announced the integration of social media platform X with his artificial intelligence company, xAI. This strategic merger, revealed late Friday, aims to fuse the resources of both entities to accelerate the development of advanced AI technologies.

“The futures of xAI and X are deeply connected,” Musk stated on X. “We are now combining data, models, computing power, distribution, and talent to create a platform that not only mirrors the world but actively drives human progress.”

According to reports from the Hollywood Reporter, the acquisition involved an all-stock transaction. This valuation places xAI at approximately $80 billion, while X is valued at $33 billion, inclusive of $12 billion in debt. This follows Musk’s initial acquisition of X, formerly Twitter, for $44 billion in October 2022.

The implications of this merger for X users center on the amplified integration of AI within the platform. X has already prioritized its generative AI chatbot, Grok, since its 2023 launch. Furthermore, changes to X’s terms of service following the November election now mandate that users consent to the use of their posts for AI training purposes.

This strategic alignment of X and xAI underscores Musk’s vision for a future where social media and artificial intelligence are inextricably linked. The resulting increase of AI functions within the social media platform, are sure to change the users experience.

reference: Mashable

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