Musk's xAI pays Telegram $300M to integrate Grok AI chatbot

CIOTech Outlook Team | Thursday, 29 May 2025, 09:59 IST

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  • The Dubai-based messaging company Telegram, under CEO Pavel Durov, has entered into a partnership with Elon Musk’s xAI.
  • Telegram will be paid $300 million by xAI, and they will also get 50% of the revenue from xAI subscriptions bought through their app, Durov said.
  • Telegram users will gain access to the best AI technology on the market.

Elon Musk’s artificial intelligence company, xAI, has entered into a significant $300 million partnership with the messaging platform Telegram to integrate its AI chatbot, Grok, into Telegram’s ecosystem. According to Telegram founder Pavel Durov’s post on the social media platform X, this one-year contract will boost xAI’s role in AI by benefiting from the platform’s global base of over one billion users. “This summer, Telegram users will gain access to the best AI technology on the market,” Durov wrote in his post announcing the partnership.

The deal, structured with both cash and equity components, includes a revenue-sharing model where Telegram will earn 50% of subscription revenues generated through Grok on its platform. As a result, xAI can make Grok accessible to more people and upgrade its portfolio and Telegram can use state-of-the-art AI technology in its app.

Also Read: Microsoft partners with Yotta to drive AI innovation in India

Since it is getting tougher to obtain dependable data for language model training, this connection may give xAI a rich flow of users’ input to improve its systems. Unlike previous sets of open-source data which have become scarce, Telegram can deliver extensive and current data on its users. While Meta has tried public chats for the same reasons, it’s unclear if xAI will approach Telegram’s data in the same way. Durov pointed out that the new app will never address information that is not directly given to it, thus ensuring users’ privacy.

This move marks another strategic step for xAI in 2025, as the company expands its influence in AI infrastructure and financial technology. Although xAI has not yet released an official statement on the partnership, the collaboration underscores its ambition to innovate and compete in the rapidly evolving AI sector.


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