If you’re Elon Musk, you sell X to xAI. He did OK on the sale. In a Friday evening tweet on X, Elon Musk wrote that xAI had acquired X for $33 billion, or “$45 B less $12B debt.” In his tweet, Musk explained the rationale behind the deal.

Elon Musk, who already suggested Tesla invest in xAI, is now setting the stage for the public company under his control to grossly overpay for xAI, a private company under his control that just absorbed Twitter (X). Anyone invested in a mutual fund that owns Tesla shares could be about to bail out Musk and his billionaire friends.

Musk, the owner of both companies, said the deal values the startup AI company at $80 billion and the social media platform at $33 billion.