Musk denies xAI plans to buy Character.AI

The clarification, made on the social media platform X, contradicts an earlier report by The Information.

Logo of xAI

Elon Musk announced on Wednesday that his AI startup, xAI, is not considering acquiring chatbot startup Character.AI. The statement was made on the social media platform X, clarifying earlier reports by The Information that suggested xAI was looking into buying Character.AI to enhance testing of its Grok AI models.

The clarification came in response to speculation about xAI’s strategic moves to bolster its AI capabilities. Musk’s announcement aims to put to rest any rumors of a potential acquisition, highlighting that xAI is not pursuing this particular avenue at the moment.

Despite the earlier reports, xAI remains focused on its current projects and strategies, without incorporating Character.AI into its plans. The following development underscores the competitive and rapidly evolving landscape of AI startups as they seek to advance their technologies.