Elon Musk's artificial intelligence startup, xAI, has officially launched its latest chatbot model, Grok-3, which Musk claims is the "smartest AI on Earth." It was launched during a live stream on February 18, 2025, where Musk highlighted Grok-3's significant advancements over its predecessor, Grok-2.

According to xAI, the new model boasts "more than 10 times" the computing power of Grok-2 and has outperformed major competitors such as Alphabet’s Google Gemini, DeepSeek’s V3 model, Anthropic’s Claude, and OpenAI’s GPT-4o across various benchmarks in math, science, and coding.

Enhanced Computing Power

Grok-3 has undergone extensive pretraining and is designed to continuously improve with daily updates. Musk emphasized that users could expect noticeable enhancements within just 24 hours of use.

A new smart search engine DeepSearch was launched alongside Grok-3. This feature allows the chatbot to articulate its reasoning process while responding to queries and includes functionalities for research, brainstorming, and data analysis.

Grok-3 will be available immediately to Premium+ subscribers on the social media platform X (formerly Twitter).  xAI is introducing a new subscription tier named SuperGrok for access to the Grok mobile app and website.

Grok-3's launch intensifies the rivalry between xAI and OpenAI. Musk has been vocal about his OpenAI's transition to a for-profit model and has previously attempted to acquire OpenAI's nonprofit arm. Recently he filed lawsuits against OpenAI for allegedly deviating from its founding principles.

Musk's xAI is reportedly in discussions to raise approximately billions in funding, which would elevate its valuation to around billion. OpenAI is also seeking significant investments that could push its valuation up to $300 billion.

While xAI aims to solidify its position in the AI market with Grok-3, it faces competition from emerging technologies. Notably, Chinese AI company DeepSeek recently released an open-source AI model that has shown competitive performance against leading U.S. models at a fraction of the cost.