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Elon Musk unveils Grok 3 chatbot
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Stefan Schneider
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Stefan Schneider brings a dynamic energy to The Economy’s tech desk. With a background in data science, he covers AI, blockchain, and emerging technologies with a skeptical yet open mind. His investigative pieces expose the reality behind tech hype, making him a must-read for business leaders navigating the digital landscape.

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Grok 3: Criticisms and Issues
On Technological Advancement and Innovation
The Prospects of xAI and Grok
Note: Elon Musk’s Grok 3. / Source: https://em360tech.com/tech-articles/elon-musks-xai-testing-grok-ai-chatbot-free-users-x

Elon Musk's xAI's most recent AI chatbot, Grok 3, has been greeted with both acclaim and criticism since its launch. The company claims that it is a "scary smart" model that outperforms rivals like ChatGPT and DeepSeek. The announcement coincides with increased rivalry in the AI market and Musk's increasing sway over U.S. government policy through the Trump administration. Despite the model's favorable technical reviews, ethical questions, regulatory conflicts, and its connection to Musk's larger corporate and political plans have raised worries since its inception. 

Grok 3: Criticisms and Issues

1. Potential for Abuse and Inadequate Content Moderation

One of the most recent issues with Grok 3 is that, in contrast to rivals like Google's Gemini and OpenAI's ChatGPT, it has laxer content management guidelines. Grok 3 is said to have fewer guardrails, which leaves it more vulnerable to creation of sexually provocative or explicit content, development of deepfakes, such as text or photos produced by AI that mimic actual humans, manipulation of content protected by copyright, which raises questions regarding possible infringements, uncensored political comments that might be exploited to disseminate false information. Grok 3 has been utilized by X (previously Twitter) users to make fun of political people, produce content that is contentious, and produce misleading AI-generated media as a result of this laxer moderation approach. Critics are concerned that this would support AI-driven propaganda, online harassment, and false information.

Note: Musk and President Trump Political Relations. Source: https://www.yahoo.com/news/trump-says-musk-cannot-stop-184550270.html

2. Musk's Regulatory Issues & Political Power

The Department of Government Efficiency (DOGE), which oversees the reform of government agencies, is led by Musk, who is currently among Trump's closest aides. Musk's increasing clout over federal agencies in the United States has been connected to former President Donald Trump, who gave him extensive regulatory authority. Musk has been active in improving government efficiency, which has created conflicts of interest because he owns businesses (SpaceX, Tesla, and xAI) that have direct contact with federal regulatory agencies. Musk's political connections, according to critics, may influence AI laws, giving preference to his own businesses over rivals like Google, DeepSeek, and OpenAI. Musk is influencing AI rules while introducing his own AI products, which critics claim presents a conflict of interest due to his political influence. Trump has prioritized AI throughout his administration, implementing policies to position the United States as a leader in AI technology.

3. Moral and Legal Issues

Despite Musk's outspoken criticism of AI legislation, his political connections allow him to influence AI policy. While other AI startups are subject to tougher monitoring, there are worries that xAI may be given privileged regulatory status. Musk's dominance in artificial intelligence (AI), social networking (X), space exploration (SpaceX), and electric vehicles (Tesla) has prompted some academics to voice antitrust concerns.

4. Cost & Subscription Model Debat:

Only X Premium+ users can now access Grok 3 due to a major price hike by xAI ($40/month). In just a few months, the subscription rate has risen by 150% from its previous price of $16 per month. Although the price of the new SuperGrok subscription tier has not been revealed, it has been introduced. According to critics, Musk is making AI access a premium product and putting financial gain ahead of general accessibility. This membership approach is in contrast to OpenAI and Google, which make AI tools more accessible to the general public by providing free or inexpensive access to its chatbots.

5. $10 Billion Funding Scandal

According to reports, xAI, which values the business at $75 billion, is looking for $10 billion in capital.The question of whether Musk is actually in favor of AI safety or is just attempting to catch up to OpenAI has been raised by his recent call for a worldwide halt in AI development. A $97.4 billion takeover effort by Musk's consortium to acquire OpenAI was unsuccessful just weeks before the Grok 3 release.

6. Musk’s "Truth-Seeking" AI and AI Philosophy

Grok 3 is a "truth-seeking AI," according to Musk, who has emphasized that it would not be constrained by political correctness. Free speech activists have applauded this, although it raises questions regarding disinformation powered by AI and politically charged stuff spreading. The possibility of prejudice since Musk's own beliefs may affect what is considered "truth." Musk's track record of propagating lies about X calls into question the veracity of his claim that X is a "unbiased AI."

7. The AI Battle Between Musk and OpenAI: A Billion-Dollar Conflict

Due to internal conflicts, Musk quit OpenAI in 2018, despite having co-founded the company in 2015. After its 2022 release, OpenAI's ChatGPT went viral worldwide, pushing Musk to the sidelines. After Musk's attempt to purchase OpenAI for $97.4 billion was turned down by the company's board, the rivalry intensified. With Grok 3, Musk is now directly competing with China's DeepSeek R1 and Sam Altman's ChatGPT.

Note: AI competitors. Source: https://www.ft.com/content/385d02a7-54dc-43b8-9f54-0fa40dfb0823

On Technological Advancement and Innovation: 

1. Large-Scale Processing Capability

Ten times as much computing power is used by Grok 3 as by Grok 2. It employs self-correction methods to minimize errors, or AI "hallucinations," after being educated on synthetic data. xAI is currently one of the biggest AI training systems in the world, with over 200,000 Nvidia GPUs running on its doubled GPU cluster.

2. Advanced Ability to Reason

Grok 3 is superior to all current AI models, according to Musk, particularly when it comes to coding, science, and math activities. According to reports, the AI has won numerous benchmarks when tested against China's DeepSeek and OpenAI's GPT models.

In a startling assertion, xAI researchers proposed that Grok-3 might have validated the Riemann Hypothesis, an unresolved mathematical conundrum that dates back 150 years. This would be a significant mathematical advance if it were true.

3. A Next-Gen Search Engine Called "DeepSearch"

Musk unveiled a brand-new search engine named "DeepSearch," which is marketed as a ground-breaking substitute for Google Search. The technology isn't only meant to link to online pages; it's meant to offer deeper insights in real time.

4. Efficiency compared to DeepSeek and OpenAI

According to Musk, Grok 3 outperforms the most recent models from OpenAI; nevertheless, independent AI experts indicate that the gains over Grok 2 are negligible. Recently, DeepSeek's R1 model beat Grok 3 in important AI benchmarks, demonstrating that xAI is still lagging behind its leading rivals. Some investors doubt that Musk's massive investment in Grok 3's training and computing is justified.

The Prospects of xAI and Grok

The expansion of xAI's supercomputer infrastructure, which includes Colossus, a sizable AI training cluster located in Memphis, Tennessee, has been revealed by Musk.

More sophisticated models will probably be introduced by xAI, which will also aim to dominate the market for chatbots with AI-powered search and reasoning. Grok 3 has yet to gain widespread use like ChatGPT, though, and competition is still quite strong.

Despite being a substantial advancement for xAI, Grok 3 still confronts several ethical, legal, and competitive obstacles. There have been intense discussions about Musk's pricing strategy, political clout, and AI content regulations; it is unclear if xAI will be able to compete with Google, OpenAI, and DeepSeek in the AI race. The success of Grok 3 ultimately rests on its ability to strike a balance between innovation and ethical AI practices, or if Musk's strategy will turn it into a tool for controversy rather than advancement. The ability of Grok 3 to strike a balance between innovation and ethical AI methods will ultimately determine its success; if Musk's strategy turns out to be a vehicle for controversy rather than advancement, that is.

Picture

Member for

4 months 2 weeks
Real name
Stefan Schneider
Bio
[email protected]
Stefan Schneider brings a dynamic energy to The Economy’s tech desk. With a background in data science, he covers AI, blockchain, and emerging technologies with a skeptical yet open mind. His investigative pieces expose the reality behind tech hype, making him a must-read for business leaders navigating the digital landscape.