Elon Musk Has Rp295 Trillion Debt, Promises to Pay It Off

The social media platform X and Elon Musk’s artificial intelligence company xAI are reported to plan to repay all of their debts, amounting to about US$17.5 billion or around Rp295 trillion.

Bloomberg reports that the two companies have signalled to creditors that all obligations will be paid in full. The information was obtained from sources familiar with internal plans.

Citing Reuters, Morgan Stanley, which manages the debt structure for X and xAI, is said to have informed lenders of the repayment plan.

One of the largest components comes from xAI’s US$3 billion high-yield bond. The bond is reportedly to be redeemed at around US$1.17 per dollar, above par. The premium reflects that the debt was previously expected to remain outstanding for at least another two years.

Early redemption of bonds would require the company to pay additional penalties as well as interest that investors would have earned up to the end of the tenor. In other words, this move by Musk could add to short-term payment obligations.

Some debts have been outstanding for years, while others are relatively new and include early redemption penalties.

This aggressive move follows a string of major corporate maneuvers. SpaceX acquired xAI in February in a deal valuing the AI company at US$250 billion. The acquisition provides broader flexibility to restructure its capital structure.

Earlier, in 2025, xAI also took over X and inherited the social media company’s debt of US$12 billion.

Not stopping there, Morgan Stanley led a further US$5 billion debt financing package for xAI. In January, the AI company also raised US$20 billion in a Series E funding round.

Nevertheless, the sources of funds to repay the jumbo debt have not been disclosed publicly. Neither X nor xAI has issued an official comment. Reuters has said it could not independently verify Bloomberg’s report.