You misunderstand Musk's motivation. This was never about money for him, but about control over a key technology. One of the main reasons he exited OpenAI was the fact that the other co-founders wanted to create a structure where no one, Musk included, would be able to seize full control of the company. That was the thing that prompted him to leave, which tells you a lot about what he really wanted in the first place.

But he also falsely assumed that OAI would die without his money. Yet, they managed to pull through, and Musk is now on the outside looking in with very little influence in the AI space. xAI is his desperate attempt to get back into the game. That is why he won't give up.

It is my limited understanding that as much as many of us groan at the notion of Spacex becoming "an AI-first company", markets in general, and Musk investors in particular, are slurping it up. Musk is very very very good at promising the sky. I don't think he can backtrack, he always digs in further - and it has historically worked well for him. He will drop AI only when the next big hype thing comes along and he hitches a ride on that train.

Now that SpaceX is public, at a valuation that is both very high and supported primarily by xAI (Grok), it cannot simply go back to making rockets.

This is what a normal company might say.

xAI is not a company, it’s a financial instrument. The growth potential as perceived by investors is there to prop up the stock price.

I don’t know, I wouldnt be suprised if he finds a way. All the tools around, he just have to make a jump in the quality. With GLM as example they should be able to het to opus level and cut the costs

The stock market would not like that, though.

> You're allowed to exit the AI business.

Isn’t it more fun to fight the incumbents, the behemoths, the goliaths?

> Your product's brand name is mud.

It is?

As a social media site they need to understand content for recommendations and they allow people to ask questions about posts for free. Along with having a large amount of data that can be trained on xAI has good reason to continue developing AI.

But how will Musk stay a trillionaire without fake AI hype?

>just stop.

Thats not how AI psychosis works.

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Musk bought Twitter looking to build an “everything app,” the western WeChat. AI came along and promised an end to apps via an agentic OS that does what its user wants and vibes whatever it needs to accomplish that as it goes along. The agentic OS is basically the same thing as the “everything app,” and I doubt Musk will let go of that.

That is probably the best solution too!

That would be a strategic move.