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The xAI–X merger is a good deal — if you’re betting on Musk’s empire


When Elon Musk announced that his AI startup, xAI, had acquired his social media company, X (formerly known as Twitter), in an all-stock deal, it raised

xAI’s chatbot, Grok, was already deeply integrated with X, X was floundering financially, and Musk needed a way to make his $44 billion Twitter acquisition look less like an impulsive takeover and more like a strategic play for AGI dominance. The electric vehicle maker has been treated like a tech stock for years despite the fact that it has , based largely on the belief that Tesla will one day unlock groundbreaking autonomy in the form of self-driving cars and humanoid robots. Rebecca Bellan is a senior reporter at TechCrunch, where she covers Tesla and Elon Musk’s broader empire, autonomy, AI, electrification, gig work platforms, Big Tech regulatory scrutiny, and more.

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