xAI has acquired X, xAI now valued at $80B • Hacker News Board

Re: xAI has acquired X, xAI now valued at $80B

#21

Post by zitterbewegung » Fri, Mar 28, 2025, 9:40 PM UTC

adharmad wrote: post #9

What is the play here? Using money invested in xAI and its inflated valuation to bail out the X investors?

That and the data that is a part of X can be used by the xAI team. I expect it will be in the TOS if it isn't there already.

"xAI and X’s futures are intertwined. Today, we officially take the step to combine the data, models, compute, distribution and talent."

Re: xAI has acquired X, xAI now valued at $80B

#22

Post by fredmingus » Fri, Mar 28, 2025, 9:40 PM UTC

dghlsakjg wrote: post #5

minimaxir wrote: post #3

The SEC would likely have a field day with this, if there was still a functional SEC.

Does the SEC have any say over privately held companies?

In short, yes.

https://www.sec.gov/resources-small-businesses/capital-raisi...

Re: xAI has acquired X, xAI now valued at $80B

#23

Post by toomuchtodo » Fri, Mar 28, 2025, 9:40 PM UTC

minimaxir wrote: post #3

The SEC would likely have a field day with this, if there was still a functional SEC.

The SEC DOGE was in today?

https://www.reuters.com/world/us/us-securities-exchange-comm...

Re: xAI has acquired X, xAI now valued at $80B

#24

Post by bayarearefugee » Fri, Mar 28, 2025, 9:41 PM UTC

andrewstuart wrote: post #10

Can someone please explain this with more words?

My take is that its super obvious X is a rapidly failing social media platform that is reportedly very dangerously leveraged with Tesla stock value... but xAI still has that Zombo.com magic where anything is possible and the unattainable is unknown.

Re: xAI has acquired X, xAI now valued at $80B

#25

Post by HappySweeney » Fri, Mar 28, 2025, 9:41 PM UTC

adharmad wrote: post #9

What is the play here? Using money invested in xAI and its inflated valuation to bail out the X investors?

To me it appears to be a way to pay his lenders without liquidating or collateralizing more Tesla stock.

Re: xAI has acquired X, xAI now valued at $80B

#26

Post by bigstrat2003 » Fri, Mar 28, 2025, 9:41 PM UTC

gwbas1c wrote: post #12

I get a kick out of how the link in this story is "twitter.com" instead of "x.com". Personally, I think everyone should just continue to say "Twitter."

I do and I always will. I refuse to play along with corporate rebrands, be it Twitter, Facebook, Comcast, Charter or anything else.

Re: xAI has acquired X, xAI now valued at $80B

#27

Post by sunaookami » Fri, Mar 28, 2025, 9:42 PM UTC

zitterbewegung wrote: post #21

adharmad wrote: post #9

What is the play here? Using money invested in xAI and its inflated valuation to bail out the X investors?

That and the data that is a part of X can be used by the xAI team. I expect it will be in the TOS if it isn't there already. "xAI and X’s futures are intertwined. Today, we officially take the step to combine the data, models, compute, distribution and talent."

There is a setting (opt-out outside of EU, opt-in inside EU I think) that allows/forbids data sharing with X since Grok was released.

Re: xAI has acquired X, xAI now valued at $80B

#28

Post by throw_pm23 » Fri, Mar 28, 2025, 9:42 PM UTC

gwbas1c wrote: post #12

I get a kick out of how the link in this story is "twitter.com" instead of "x.com". Personally, I think everyone should just continue to say "Twitter."

And Facebook instead of Meta, although if I think of it, I'd rather not say any of those in any context.

Re: xAI has acquired X, xAI now valued at $80B

#29

Post by bhouston » Fri, Mar 28, 2025, 9:42 PM UTC

He has done this move before with Tesla buying Solar City. When you do a deal with yourself you can assign any value you want to assets, it isn’t a competitive process. In the previous case Solar City was dying but its acquisition by Tesla was pitched as a great synergy.

https://www.businessinsider.com/solarcity-tesla-energy-belea...

There were a few lawsuits from Tesla shareholders about the acquisition regarding self dealing but they didn’t succeed:

https://en.wikipedia.org/wiki/SolarCity

Re: xAI has acquired X, xAI now valued at $80B

#30

Post by jsheard » Fri, Mar 28, 2025, 9:42 PM UTC

zitterbewegung wrote: post #21

adharmad wrote: post #9

What is the play here? Using money invested in xAI and its inflated valuation to bail out the X investors?

That and the data that is a part of X can be used by the xAI team. I expect it will be in the TOS if it isn't there already. "xAI and X’s futures are intertwined. Today, we officially take the step to combine the data, models, compute, distribution and talent."

Weren't they already doing that? I recall before I bailed from X/Twitter they already added an AI training consent toggle, which silently defaulted to "I consent" for all existing users of course.