Elon Musk debuts Grok 3 as the world’s smartest AI
Increasingly tech companies are in a battle to create the best AI, and even though they're burning cash and revenues aren't matching expectations, they keep going.
Key takeaways
- The xAI announcement comes as competition in AI continues to ramp up, with big tech players racing to invest in bigger, stronger data centers to fuel more powerful AI models.
- Musk said Grok 3 was built with 10 times the computer power of xAI’s previous model, Grok 2, after the company opened a new data center in Tennessee last year.
- Musk last week led a group of investors offering to buy OpenAI for $97 billion, the latest move in his ongoing rivalry with the ChatGPT parent company’s CEO Sam Altman, which the rival company’s board rejected.
Cite or link to this article
Griffin, M. (2025) 'Elon Musk debuts Grok 3 as the world’s smartest AI', 311 Institute, 6 March. Available at: https://www.311institute.com/elon-musk-debuts-grok-3-as-the-worlds-smartest-ai/ (Accessed: 1 October 2026).
xAI on Monday unveiled its updated Grok 3 Artificial Intelligence (AI) model, as the Elon Musk-led startup pushes to keep pace with the advanced reasoning and search capabilities in competitors’ models.
In an event livestreamed on Musk’s X, leaders at the startup claimed Grok 3 performs better across math, science and coding benchmarks than Google’s Gemini, OpenAI’s GPT-4o, Anthropic’s Claude 3.5 and DeepSeek’s V3 model, although it’s not clear how it compares to other top reasoning models such as OpenAI o3-mini and DeepSeek R1. The company also described the tool’s new features, such as advanced web searching with “deep search,” the ability to code online games and a “big brain” mode to reason through more complex problems.
The Inside Story of DeepSeek R1
Grok 3 is immediately available to members of X’s $40 per month “Premium+” subscription plans, or users who subscribe directly on Grok’s standalone app or website, the prices of which have both just been doubled by Musk – which is ironic because the billionaire polymath recently complained and sued OpenAI for changing its own business model from non-profit to for profit, yet seems happy to charge way over the odds for his own model in a display of weird double standards.
The xAI announcement comes as competition in AI continues to ramp up, with big tech players racing to invest in bigger, stronger data centers to fuel more powerful AI models. Tech giants believe AI is on its way to revolutionizing how people work, communicate and navigate the internet, including by replacing traditional search engines and coding processes.
American tech firms are now also up against a new kind of competition from DeepSeek, the Chinese startup whose recently launched R1 model raised big questions about Silicon Valley’s AI infrastructure investments because it suggested that advanced models could be trained more efficiently. Musk said Grok 3 was built with 10 times the computer power of xAI’s previous model, Grok 2, after the company opened a new data center in Tennessee last year.
The billionaire referred to Grok 3 as “kind of a beta” test for now. “Expect some imperfections at first, but we’ll improve it rapidly,” he said.
Musk also teased a “voice mode” for Grok 3 — similar to the natural conversation feature on competitor apps including ChatGPT — that he said would roll out in the coming days.
At the same time, Musk, who has also taken on a key role reshaping the federal government as a “special government employee” under President Donald Trump, has sought to grow his influence in the AI space.
Musk last week led a group of investors offering to buy OpenAI for $97 billion, the latest move in his ongoing rivalry with the ChatGPT parent company’s CEO Sam Altman, which the rival company’s board rejected. Musk has accused OpenAI of abandoning its mission to help humanity because it plans to transition away from its non-profit structure. The billionaire has also urged OpenAI to open-source more of its technology.
Asked on Monday about open-sourcing xAI’s own models, Musk said the startup would make the code behind its previous Grok 2 model publicly available when Grok 3 is “mature and stable” in the coming months.
FAQ
Why does this matter?
Increasingly tech companies are in a battle to create the best AI, and even though they're burning cash and revenues aren't matching expectations, they keep going.

About the author
Matthew Griffin Founder, 311 Institute
Matthew Griffin is a multi-award winning Futurist and expert in Disruption and Innovation, Geopolitics, Leadership, and Technology, who NASA have described as a "walking encyclopaedia of the future" and a "futurist Polymath."
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Matthew Griffin is a multi-award winning Futurist and expert in Disruption and Innovation, Geopolitics, Leadership, and Technology, who NASA have described as a "walking encyclopaedia of the future" and a "futurist Polymath." 15-time best selling author of the "Codex of the Future" series, Matthew is the Founder and Futurist in Chief of the 311 Institute, a global Futures and Deep Futures advisory firm working with royal households, world leaders, G7, G20, and G77 governments, NGOs, and multi-national mid and mega cap firms to help them explore, shape, and lead the next 50 years of business and society.
An award-winning YouTube creator with over a million followers, with an unrivalled global reach and impact, Matthew is a highly sought-after international keynote speaker, lecturer, and mentor who collaborates with global leaders through the United Nations Alliance of Civilizations (UNAOC) and United Nations General Assembly (UNGA) to shape pivotal initiatives such as the UN’s AI for Humanity program, the United Nations Conference of the Parties (UN COP), and the World Economic Forum in Davos.
As the former Global Head of Cloud, National Security, and Enterprise Sales for companies including Atos, Dell-EMC, and IBM, Matthew has a proven track record of building multi-billion dollar business units and turning failing divisions into market leaders. His ability to identify, analyse, and communicate the implications of hundreds of emerging technologies and trends is unparalleled, and his insights are trusted by many of the world’s most respected organisations, including ABB, Accenture, Adidas, AON, ARM, BCG, Centrica, Citi, Coca-Cola, Dentons, Deloitte, Dow Jones, EY, Google, KPMG, Lego, Legal & General, LinkedIn, Microsoft, PepsiCo, Qualcomm, RWE, Samsung, Siemens AG and Siemens Energy, T-Mobile, UBS, VISA, Walmart, Workday, Worldpay and many others.
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Sources and further reading
- livestreamed x.com
Source: first published by the 311 Institute on 6 March 2025. Cite as: Griffin, M. (2025). Elon Musk debuts Grok 3 as the world’s smartest AI. 311 Institute. https://www.311institute.com/elon-musk-debuts-grok-3-as-the-worlds-smartest-ai/
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