Economic conditions & trends

Musk Sells X to xAI for $33B in All-Stock Deal

MAR 29 2025·Updated MAR 31 2025

story

Above: The Grok X AI logo. Image credit: Jonathan Raa/Contributor/NurPhoto via Getty Images

The Spin

Narrative A

The merger is a strategic consolidation that will enhance AI capabilities, expand distribution reach, and create a more efficient and powerful technology company to better compete in the rapidly evolving AI landscape.

X LiveNOW from FOX

Narrative B

The deal is a financial maneuver to prop up X's struggling valuation by merging it with a more valuable AI company, establishing dominance in the AI sector, and masking X's ongoing revenue challenges and advertiser exodus.

Guardian The New York Times