Elon Musk's xAI is in talks to lease data center capacity in Saudi Arabia, Bloomberg News reported on Wednesday, as part of an effort to expand its infrastructure in regions offering cheap energy and political goodwill.

A week after Grok's antisemitic outburst, which included praise of Hitler and a post calling itself "MechaHitler," Elon Musk's xAI has landed a US military contract worth up to $200 million. xAI announced a "Grok for Government" service after getting the contract with the US Department of Defense.

CEO of Tesla Elon Musk said Monday he doesn't support a merger of his automotive company with his AI and technology company xAI, even though Tesla shareholders will vote on making an investment into xAI.

Tesla will hold a shareholder vote on whether Elon Musk’s carmaker should invest in his artificial intelligence startup, xAI, the billionaire said in a post on X Sunday.

As Elon Musk contemplates the relationship between several of his companies, he said on social media that Tesla shareholders will vote on whether to invest in xAI.

As for why Grok was consulting Musk’s posts when asked about controversial topics, the company wrote, “The model reasons that as an AI it doesn’t have an opinion but knowing it was Grok 4 by xAI, searches to see what xAI or Elon Musk might have said on a topic to align itself with the company.”

This story will be updated. The Southern Environmental Law Center has filed an appeal with the Memphis and Shelby County Air Pollution Control Board challenging the permits for xAI's methane gas turbines issued by the Shelby County Health Department.

AI released two AI "companions" on its Grok platform, a Japanese anime girl named "Ani" and an animated red panda called "Rudi."