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

Post by [deleted] » Sat, Mar 29, 2025, 4:04 AM UTC

AtlasBarfed wrote: post #543

whats_a_quasar wrote: post #272

Earlier quoted context omitted.

As best I can tell the deal includes paying off $12 billion of Twitter debt. So that's real money, though that seems like it's basically all of the cash that xAI has raised, so if that's the case that's pretty wild. Edit: I misread, Musk said it's an all-stock deal, so you're right, it's all funny money. I think that means the combined entity is taking on that debt. It's still great for Twitter and bad for xAI invest…

I smell margin call desperation. Musk got visibly worried with tanking Tesla stock and pulled out some crazy stops to keep Tesla afloat. Remember, these megabillionaires are due to stock valuations, and live rich lifestyles on the basis of lending against the value of stock. If that value drops and a margin call forces actual selling, then Musk loses shares in Tesla. I have to think this stunt is related to Musk need…

Post by econ » Sat, Mar 29, 2025, 4:05 AM UTC

Alive-in-2025 wrote: post #324

pclmulqdq wrote: post #238

Earlier quoted context omitted.

No X shareholder in their right mind will object to getting a $45 billion valuation (including debt) when their latest valuations have the company at <$10 billion.

Twitter still has a lot of users and if they stopped being used by offensive at times racist and awful, then Twitter could get more users, sell advertising and make money probably. Now that's all gone because Twitter could investors need w own a small piece of the giant over inflated Xai, which has value because of AI hype but it's future actual value is questionable. There are so many other AI companies, so what is…

Post by ActorNightly » Sat, Mar 29, 2025, 4:07 AM UTC

Alupis wrote: post #474

lz400 wrote: post #457

Earlier quoted context omitted.

IMHO the US is turning into an oligarchy / autocracy like Russia. Musk is one of the oligarchs. We all know what happens to oligarchs when they get too close to eclipse the top dog and go near a window.

[flagged]

Post by ekianjo » Sat, Mar 29, 2025, 4:08 AM UTC

TheAlchemist wrote: post #253

whats_a_quasar wrote: post #250

Earlier quoted context omitted.

The solar city acquisition was for "only" $2.6 billion. This deal is way bigger. I'm not sure what the Tesla valuation was at the time of that deal, but I have to imagine it's proportionally way bigger too. A $45 billion acquisition when the acquirer, xAI, has an $80 billion valuation will threaten the integrity of xAI. Particularly because that's just a paper valuation and xAI doesn't have much of any revenue. If I…

Just keep in mind this is all funny money ! The valuation of those 2 companies combined should be X is heavily in debt, diminishing user base, and bleeding money. 0 profits xAI is yet to make any actual revenues outside of ... X. Also bleeding money Although I would admit, that these companies are not valued based by their economics, but rather on political power they provide to the owner.

Post by ActorNightly » Sat, Mar 29, 2025, 4:14 AM UTC

fallingknife wrote: post #255

sorcerer-mar wrote: post #211

Earlier quoted context omitted.

At the rate he's going, SpaceX is probably on its way to being nationalized within the next few elections. And that would make sense totally aside from punitive response: it is pretty dangerous to have such vital defense infrastructure controlled by such a mercurial personality.

Yes let's just have a fascist government that can seize private property because they declare it "dangerous." I see no way that could go bad.