Stalled $300M xAI Agreement Puts Telegram in Uncertainty - The Unveiled Reasons

Messaging app Telegram is in a complex situation as it attempts to secure a $300M deal with Elon Musk's AI company, xAI, while concurrently raising $1.5B through a bond offering. Telegram's founder, Pavel Durov, announced the deal with xAI, which involves integrating xAI's chatbot across Telegram's platform, but noted that formalities are yet to be completed.

The deal with xAI would significantly improve Telegram's financial position through a cash and equity payment and revenue sharing from xAI's platform subscriptions. Simultaneously, Telegram is raising money through a bond offering backed by BlackRock, Mubadala, and Citadel, with plans to use the funds to repurchase outstanding debt from 2021 bonds.

The ongoing confusion with xAI has impacted the value of Toncoin, a cryptocurrency linked to a network founded by the Telegram team.