Musk’s xAI acquires video creation company Hotshot.co

Published 17/03/2025, 21:02
© Reuters.

Investing.com -- Elon Musk’s artificial intelligence (AI) startup, xAI, has acquired Hotshot.co, a New York-based startup that specializes in creating AI-generated videos. The acquisition was announced by Hotshot on Monday, but the purchase price has not been disclosed.

Hotshot, established in 2017, has backing from several investors including Lachy Groom, an angel investor, Alexis Ohanian, a cofounder of Reddit, and Day One Ventures. Over the past two years, the company has trained three video foundation models: Hotshot-XL, Hotshot Act One, and Hotshot.

In a statement released by Hotshot, they expressed enthusiasm about the acquisition and the future of their video models. They said, "We see these video models as an early look into the future of learning, entertainment, communication and more. We’re excited to continue scaling these efforts on the largest cluster in the world, Colossus, as a part of xAI."

As a result of the acquisition, Hotshot announced on March 14, 2025, that they will be discontinuing new video creation. However, existing users of the platform, referred to as "hotshotters", will have until March 30, 2025, to download any videos they have previously created on the platform.

Hotshot also expressed gratitude for the support they have received over the years and shared their anticipation for the future under xAI. This acquisition marks the latest step in Elon Musk’s efforts to advance in the AI industry.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.