While tech billionaire Elon Musk has spent years warning about the dangers of artificial intelligence, he’s now doing a complete 180 with his latest creation. The Tesla CEO just announced Grok 3, his newest AI chatbot, boldly declaring it the “smartest AI on Earth.” The launch is set for February 17, 2025, complete with a flashy live demo that’s sure to generate buzz.
The mere announcement sent crypto markets into a tizzy. The Grok token – which, hilariously, has nothing to do with Musk or his company – shot up 82% to $0.005579. Talk about riding coattails. The token’s market cap hit $35.5 million, though it’s still way below its glory days when it touched nearly three cents back in November. The token’s dramatic success stems from leveraging Musk’s brand rather than any technological merit.
Grok token skyrocketed 82% on Musk’s AI news, despite zero connection to his company. Classic crypto FOMO in action.
Behind the scenes, Musk’s xAI isn’t messing around. They’ve raised a whopping $12 billion in funding, with heavy hitters like Nvidia and AMD throwing their chips in the pot. The company’s now valued at $75 billion – not too shabby, but still in OpenAI‘s rearview mirror. The company has attracted significant investment from Middle Eastern sovereign funds based in Saudi Arabia and Qatar.
Speaking of OpenAI, they recently showed Musk the door when he tried to buy them out for $97.4 billion.
Grok 3’s specs are impressive, if Musk’s claims hold water. The AI was trained on synthetic data using a monster of a supercomputer packed with 100,000 Nvidia H100 GPUs. That’s some serious horsepower.
But it’s entering a crowded field – ChatGPT isn’t exactly shaking in its boots, and newcomers like DeepSeek are making waves.
The whole situation is dripping with irony. Here’s Musk, who once begged for an AI development pause, now churning out chatbots like there’s no tomorrow.
Meanwhile, traders are going nuts over a token that’s basically riding on Musk’s name alone. It’s the wild west of AI and crypto rolled into one bizarre package. Get your popcorn ready – this show’s just getting started.
