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Elon Musk’s xAI Unveils $300M Deal with Telegram

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Elon Musk’s artificial intelligence startup, xAI, is set to invest $300 million (approximately Rs. 2,564 crore) to launch its Grok chatbot on the Telegram messaging platform. This move aims to leverage Telegram’s extensive user base, which exceeds one billion, and enhance xAI’s competitive positioning in the rapidly expanding AI sector.

As part of a year-long agreement, xAI will also share half of any subscription revenue generated through the app, according to Telegram founder Pavel Durov, who made the announcement in a post on X earlier this week. The $300 million payment will consist of both cash and stock.

Durov emphasized that xAI will only be able to access data that Telegram users willingly provide during their interactions with the Grok bot.

In a response to Durov’s statement on X, Musk noted that no formal deal has yet been executed, while Durov clarified that both parties have come to a preliminary agreement, though formalities remain to be completed.

This partnership could prove beneficial for xAI, which acquired X earlier this year, by providing essential data needed for the training and development of its AI models.

Amid the diminishing availability of quality data from open-source repositories, AI companies are increasingly confronted with challenges in data acquisition, leading entities like Meta Platforms to rely on public user interactions for training their models.

X’s privacy policy indicates that it employs public posts from users to enhance its AI initiatives. It is currently unclear whether xAI plans to utilize data from Telegram in a similar manner.

As xAI explores multiple collaborations this year to strengthen its standing in both AI infrastructure and financial services, the company has not yet responded to a request for comment from Reuters.

© Thomson Reuters 2025

(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)

Elon Musk’s xAI Unveils $300M Deal with Telegram
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