Grok Answers Will See Ads on Elon Musk’s X; Grok Imagine Will Be Temporarily Free for US Users
X, formerly known as Twitter, intends to display advertisements on its artificial intelligence (AI) chatbot Grok. The company, which is helmed by Elon Musk, wants to boost its advertising revenue, which reportedly fell precipitously when the billionaire made the social media platform private. Musk also disclosed that X will enhance targeted advertising by utilizing the capabilities of its parent business, xAI. The Grok Imagine movie and image generating service is available for free in the United States for a limited time, just days after its launch.
Elon Musk intends to use ad revenue to pay for “expensive” GPUs.
Musk revealed that the business intends to display advertisements with Grok responses and recommendations as part of the platform’s efforts to monetize the AI chatbot’s capabilities during a Spaces conversation with marketers on X. According to him, xAI, the parent company of X, has been concentrating solely on improving the AI chatbot and will now turn its focus to monetizing its capabilities.
Additionally, Musk announced the release of Grok Imagine, an AI tool for creating images and videos. In the US, the new tool is presently free to use. The Grok app, available for download on the App Store and Google Play Store, now includes the AI tool.
According to Musk, the “expensive” GPUs that run Grok must be purchased by the business. Additionally, he proposed that when a user asks the AI chatbot a certain question, the advertisements might appear as recommendations. Regretfully, he did not provide any other details about the monetization plan. In addition, he stated that X would optimize and enhance its algorithms to display targeted advertisements on the microblogging platform by utilizing xAI’s technology.
This is relevant because, according to a recent Reuters article, Musk purchased Twitter (as it was then known) in October 2022, bringing the publicly traded firm private, and since then, the social media platform’s ad revenue has drastically decreased. This could soon change, though, as its ad sales are predicted to increase 17.5% to $1.31 billion.
