We’re back with Week in Review, featuring the latest news and updates from the tech world. This week, Elon Musk announced that xAI has acquired X in an all-stock deal, while a16z-backed 11x faced allegations of fudging customer numbers. Additionally, Block laid off 8% of its staff, and the Lumon Terminal Pro made a surprise appearance on Apple’s website. Let’s dive into these stories and more.
xAI Acquires X: Elon Musk took to X on Friday to announce that xAI has acquired X in an all-stock transaction, valuing xAI at $80 billion and X at $33 billion. Musk stated, “Today, we officially take the step to combine the data, models, compute, distribution, and talent.” This move is expected to have significant implications for the tech industry.
Questionable Customer Numbers: According to over 20 sources, including investors and current and former employees, a16z- and Benchmark-backed 11x has been exaggerating its customer base, which has contributed to its financial struggles. A former employee revealed, “They absolutely massaged the numbers internally when it came to growth and churn.” This raises concerns about the company’s transparency and accountability.
Block Layoffs: A leaked message from Block CEO Jack Dorsey revealed that the company, which owns Cash App and Square, is laying off 931 employees, or 8% of its staff, as part of an “org restructuring.” Dorsey’s email emphasized that the layoffs are not due to financial reasons or an attempt to replace workers with AI.
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News
Pardon for Trevor Milton: The White House confirmed that President Trump has pardoned Trevor Milton, the founder of Nikola, who was convicted of fraud. This pardon comes shortly after Nikola filed for Chapter 11 bankruptcy.
China’s AI Censorship: A leaked database revealed that China has developed an AI-powered censorship machine that extends beyond traditional taboos, highlighting the country’s ongoing efforts to control online content.
Rivian’s Skunkworks Spinout: Rivian’s skunkworks project has been spun out into a new company called Also, with $105 million in funding from Eclipse Ventures. This move marks a significant development in the micromobility space.
Apple’s WWDC 2025: Apple announced that its Worldwide Developers Conference 2025 will take place from June 9-13. Reports suggest that the company is preparing significant software overhauls for the iPhone, iPad, and Mac, including the highly anticipated iOS 19.
23andMe’s Bankruptcy: DNA testing company 23andMe filed for bankruptcy this week, with its CEO, Anne Wojcicki, resigning and planning to bid on the company as an independent investor. This raises concerns about the security of user data.
Kat Abughazaleh Runs for Congress: Kat Abughazaleh, a 26-year-old who was laid off from Media Matters after Elon Musk sued the company, announced her candidacy for Congress. Abughazaleh aims to increase transparency in the political process.
Lumon Terminal Pro on Apple’s Website: A Lumon Terminal Pro computer appeared on Apple’s website, sparking interest among fans of the TV show “Severance.”
SpaceX’s Chinese Investment: Reports emerged that SpaceX has allowed Chinese investors to purchase shares through offshore hubs, raising questions about the company’s relationship with foreign investors.
Nintendo’s Virtual Game Cards: Nintendo announced that
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