Elon Musk has sold social media site X to his own xAI artificial intelligence company in a $33 billion all-stock deal, the billionaire announced on Friday.
  • merdaverse@lemmy.worldEnglish
    16·
    2 days ago

    The combination values xAI at $80 billion and X at $33 billion ($45B less $12B debt)

    Lol, he actually think the value of Shitter is still $45B, as when he bought it. That’s cute.

  • ChicoSuave@lemmy.worldEnglish
    43·
    3 days ago

    Is this so the loans secured with X stock can’t be called in, forcing Elon to sell the collateral to pay back the loan?

    Sure seems like a bullshit business move to retain control of Tesla.

    • vxx@lemmy.worldEnglish
      7·
      2 days ago

      X is a private company, there’s no stock. It was secured with Tesla stock.

  • athairmor@lemmy.worldEnglish
    8·
    3 days ago

    I’m surprised the Twitter investors would approve this. Their worthless Twitter stock is now worthless xAI stock. How does that help them?

    I guess they’ll try to take xAI public with a massively overpriced IPO.

    • golli@lemm.eeEnglish
      9·
      3 days ago

      I am more surprised xAI investors approved. Especially for such a high price.

      Twitter actually imo had (and still has) quite a bit of value, but that is only to further Elons ideological goals. As a business it is on a downward trend and was never a cash cow to begin with. Comparatively little room for speculation. It’s a stagnating or declining business and doesn’t generate large profits if any.

      xAI on the other hand is pretty much in the same spot as most other ai companies. It has yet to prove to be a highly profitable business, but there is plenty of room for speculation. So as long as the bubble doesn’t burst, it has a high valuation.

      Which is all that would matter for any Twitter investor that wants to unload his shares. Although I doubt it would be via ipo, but rather in private funding rounds.

    • Pennomi@lemmy.worldEnglish
      4·
      3 days ago

      The whole point of buying Twitter was to take it private. IPO for xAI would hilariously undo that.

  • caffinatedone@lemmy.worldEnglish
    6·
    3 days ago

    Since it’s a money hole just like all of the other “AI” companies, who’s funding xAI and what are they getting out of being a slush fund for musk?

  • KulunkelBoom@lemm.eeEnglish
    1·
    2 days ago

    So… computer programs can now own property. Interesting. Is this the first step in giving computers the vote?