Tesla is set to incorporate the startup xAI's AI chatbot, Grok, into its electric vehicles (EVs), a move announced by Elon Musk on his social media platform X.

Musk said on X that: “Grok is coming to Tesla vehicles very soon. Next week at the latest.”

Bloomberg reported that, during a video livestream, Musk, along with his xAI team, introduced a new iteration of Grok, with enhanced voice conversation capabilities.

They also presented benchmarks indicating that the new AI system surpassed those of competitors, including OpenAI.

Grok 4 was released approximately one day after xAI addressed and deleted inappropriate posts by the chatbot on X, which included antisemitic remarks.

The integration of Grok into Tesla's lineup indicates a deepening partnership between the electric-car manufacturer and xAI.

Some investors of Tesla have advocated for this move, especially as Tesla's sales have experienced a downturn.

Musk, responding to a poll in which 68% of participants supported the idea, expressed his intention to discuss the integration with Tesla's board.

Subsequently, xAI merged with X, with Musk revealing the AI startup's valuation at $80bn and the social network at $33bn.

In April, Tesla reported that xAI contributed to its revenue in the previous year, with the startup accruing $198.3m in expenses related to commercial, consulting, and support agreements with Tesla.

Of this, $191m is pertained to xAI's purchase of Tesla's Megapack, the utility-scale energy storage batteries.

The Financial Express noted that since its launch in November 2023, Grok has undergone several updates, with the latest version being praised by Musk as the "Smartest AI on Earth."

Tesla's sales figures show a decline this year. In the second quarter, the company sold 384,122 cars, a 13.5% decrease from the previous year, marking Tesla's largest year-over-year sales drop. However, these figures represent a 14.1% increase from the first quarter.