Elon Musk's AI firm, xAI, has announced the acquisition of Hotshot, a startup known for its AI-driven video generation tools similar to OpenAI's Sora. Hotshot's CEO, Akash Sastry, shared the news on X, highlighting their development of three video foundation models over the past two years. Sastry expressed enthusiasm about scaling their innovations on xAI's extensive computational resources, Colossus. This acquisition marks a significant step in advancing AI applications in education, entertainment, and communication.