Elon Musk announced that SpaceX has acquired xAI, forming a trillion-dollar combined entity aimed at integrating AI, social media (X), rockets, and space-based computing, with plans for orbital AI data centers and a potential SpaceX IPO later this year.
Elon Musk Makes Big Move, Merges xAI With SpaceX, 1.25 Trillion USD Venture To Take AI Into Space, ‘Something Big Is On The Way…’
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Elon Musk has announced that his artificial intelligence (AI) startup,xAI, has been bought by SpaceX, his aerospace company. Therocketmaker tweeted Musk’s statementregarding the acquisition ofxAI on his social media platform, X. After merging the two companies last year, Musk’sxAI now owns and runs his social network X. The combined business of SpaceX andxAI is valued at USD 1.25 trillion, according to a Bloomberg article, and SpaceX intends to make an IPO later this year.
The merger agreement between SpaceX andxAI wasfinalized on Monday, according to a CNBC report.By combiningxAI with his social network X, formerly known as Twitter, Musk was able to expandxAI. In addition, the EU is looking intoxAI’s flagship product Grok because of its AI picture production capability, raising suspicions that it was used to produce sexualized photos. According toxAI,Grok users are subject to limitations that restrict their ability to edit images.
In the meanwhile, Musk said that the merger of SpaceX and XAI would createa “innovation engine” that would house media, AI, rockets, and space-based internet under one roof.
“Scaling to make a sentient sun to understand the Universe and extend the light of consciousness to the stars is not just the next chapter, but the next book in SpaceX andxAI’s mission,” Musk declared.
The union would eventually enable the installation of solar-powered AI data centers in orbit, according to a news statement from SpaceX.
“My estimate is that the lowest cost way to generate AIcompute will be in space within two to three years,” Muskstated. Innovative businesses will be able to advance in training AI models and processing data at previously unheard-of rates and scales because to this cost-effectiveness alone, hastening advances in our knowledge of physics and the development of technology that will benefit society.”
“This new constellation will build upon the well-established space sustainability design and operational strategies, including end-of-life disposal, that have proven successful for SpaceX’s existing broadband satellite systems.”
Following SpaceX’s formal request to the US Federal Communications Commission (FCC) last week to launch and run a constellation of up to one million satellites intended as orbital data centers with unparalleled processing capability forcutting-edge AI models and applications, the merger was announced.
(input from ANI)
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