Elon Musk Announces Plans to Introduce Ads in Grok’s Responses
X owner Elon Musk revealed in a live discussion with advertisers that the platform is set to incorporate advertisements into Grok’s responses. This strategic move comes as a means to revitalize X’s struggling ads business following the departure of former CEO Linda Yaccarino, as reported by the Financial Times.
During the broadcast, Musk emphasized the platform’s achievement in developing Grok as the most intelligent and precise AI worldwide. He stated, “Our focus thus far has just been on making Grok the smartest, most accurate AI in the world and I think we’ve largely succeeded in that. So we’ll turn our attention to how do we pay for those expensive GPUs.”
Musk elaborated on the plan, mentioning that X will provide marketers with the opportunity to pay for visibility in suggestions generated by the AI chatbot. He explained, “If a user’s trying to solve a problem [by asking Grok], then advertising the specific solution would be ideal at that point.”
Furthermore, the tech mogul disclosed his intention to leverage technology from xAI, his AI startup, to enhance the targeting capabilities of ads on the social network. The acquisition of X by xAI earlier this year for $45 billion has paved the way for this innovative approach.
