Elon Musk’s xAI is reportedly set to launch a chatbot app to rival OpenAI’s ChatGPT, with a possible release as early as December, according to The Wall Street Journal.
This move marks a deeper escalation in Musk’s rivalry with OpenAI, where he co-founded the company but left in 2018. Musk has previously sued OpenAI and CEO Sam Altman, accusing them of deception.
xAI, founded in 2023, has already provided AI services for Musk’s other ventures, such as Starlink and Grok, a chatbot for X (formerly Twitter).
This new app would expand xAI’s consumer-facing products. Despite xAI’s valuation hitting $50 billion, it still lags behind OpenAI’s $157 billion valuation.
However, xAI’s revenue is growing, with projections exceeding $100 million annually.
In an effort to support investors from his Twitter acquisition, Musk recently allocated a quarter of xAI’s shares to them.