Elon Musk’s artificial intelligence company has unveiled its latest chatbot, Grok 3, in a launch event on Monday. Musk aims for Grok 3 to gain traction in a competitive landscape dominated by players like ChatGPT and China’s DeepSeek.

The launch coincides with Musk’s significant influence over federal agencies, following the powers granted by President Donald Trump. The aggressive cost-cutting strategy has raised concerns about potential conflicts of interest, as many of such agencies regulate aspects of Musk’s extensive business empire.

At the Grok 3 presentation, Musk stated, “Grok is to understand the universe,” emphasizing the company’s mission to pursue truth, even when it conflicts with political correctness.

He described Grok 3 as “scary smart,” boasting 10 times the computational resources of its predecessor, which was released in August of last year. The new chatbot utilises “synthetic data and self-correction mechanisms,” aiming to reduce the “hallucinations” that can mislead users.

Musk noted that initial tests show Grok 3 outperforming competing products, stating, “That’s a good sign.” The chatbot will first be available to Premium+ subscribers of X (formerly Twitter), which Musk acquired in 2022, before expanding access to other users.

As countries race to develop more sophisticated AI solutions, Grok 3 faces stiff competition. Notably, Chinese startup DeepSeek recently launched its low-cost, high-quality R1 chatbot, challenging US ambitions in AI technology.

The Musk-owned AI product also competes directly with OpenAI’s ChatGPT, placing him in opposition to former collaborator and now rival, Sam Altman.

Musk and Altman were co-founders of OpenAI in 2015, with Musk initially investing $45 million to support the project aimed at countering Google’s dominance in AI. But Musk departed the organisation three years later, and OpenAI’s release of ChatGPT in 2022 propelled Altman to prominence, leaving Musk outside the spotlight.

Their relationship has since soured, with recent tensions highlighted by the rejection of Musk’s nearly $100 billion buyout offer for OpenAI. For those interested in early access to Grok 3, xAI is introducing a new subscription tier called Super Grok, which will offer advanced features on the Grok app and the newly launched website, grok.com.

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In a broader context, Musk has emerged as a significant figure within the Trump administration, serving as a close advisor and leading the newly established Department of Government Efficiency (DOGE). Critics express concerns over potential conflicts of interest, particularly as Musk influences regulations around AI—an area in which he has substantial business interests.

According to Bloomberg, xAI is seeking around $10 billion in funding, which would value the company at approximately $75 billion. Musk, who also heads SpaceX and Tesla, launched xAI in July 2023, shortly after calling for a pause in the development of advanced AI models.