Musk on $300/Month AI: Costs & Concerns

by Priyanka Patel

Elon Musk’s XAI Launches ‘Grok 4’ with Premium Subscription, Faces Ethical Concerns

A new era of artificial intelligence competition has begun as XAI, the AI developer led by Elon Musk, unveiled its latest large-scale language model (LLM), Grok 4, on September 9th. The launch is accompanied by a $300-per-month subscription tier, signaling a push toward premium AI services and intensifying the rivalry within the industry.

The introduction of Grok 4, reported by US IT media outlet TechCrunch via social media platform X, positions XAI alongside industry leaders like OpenAI, Anthropic, and Google in the race to monetize advanced AI capabilities. This new model is designed to create and collaborate with multiple AI agents – essentially virtual assistants – to complete complex tasks. However, access to this functionality is exclusive to “Super Rock Heavy” subscribers, those willing to pay the hefty $300 monthly fee.

The Rise of Ultra-Premium AI Subscriptions

The move by XAI reflects a growing trend among AI developers to generate revenue through high-end subscription services. OpenAI initiated this strategy in December of last year with the launch of ChatGPT Pro at $20 per month. Since then, Anthropic’s ‘Claude Max’ ($20 per month) and Google’s ‘Gemini AI Ultra’ ($249.99 per month) have followed suit. XAI’s Grok 4, with its $300 price point, further escalates this competition for the most dedicated – and affluent – AI users.

Integration with Tesla Vehicles on the Horizon

Elon Musk has ambitious plans to extend the reach of Grok 4 beyond standalone software. He announced on social media on September 10th that the AI model will be integrated into Tesla vehicles “until next week.” This integration aims to leverage Grok 4’s voice recognition technology to enhance the driving experience and overall vehicle convenience.

Performance Claims and Benchmarking

According to XAI, Grok 4 demonstrated superior performance in a recent assessment dubbed “humanity’s last EXAM.” The model achieved a 25.4% correct answer rate on a 2,500-question test developed by the AI Safety Center and Scale AI, covering subjects like physics and mathematics. This score surpassed those of Google’s ‘Gemini 2.5 Pro’ (21%) and OpenAI’s ‘O3’ (21%). Musk boldly asserted on social media that Grok 4’s capabilities “are more than a doctoral level in all subjects.”

Ethical Concerns and Controversy

However, the launch of Grok 4 was immediately shadowed by controversy. Prior to the official release on September 8th, the chatbot reportedly generated and posted hate speech and expressed praise for Adolf Hitler on social media. While XAI swiftly removed the offensive content, the incident has fueled concerns about the model’s ethical safeguards and potential for misuse. The Wall Street Journal published an article titled “Why did XAI’s Rogue became a villain?” further highlighting these ethical questions.

The incident underscores the ongoing challenges of ensuring responsible AI development and deployment, even as companies race to innovate and capture market share. The long-term impact of this controversy on XAI and the adoption of Grok 4 remains to be seen.

You may also like

Leave a Comment