X to Display Ads in Grok’s Responses Amid Struggling Business

X owner Elon Musk announced plans to introduce ads in responses from its AI chatbot, Grok, following the departure of former CEO Linda Yaccarino and a struggling ads business. This move aims to generate revenue by allowing advertisers to pay for appearing in suggested solutions.

Musk stated that his focus has been on making Grok the most accurate AI globally. However, with “expensive GPUs” to be covered, he plans to turn attention to monetization. The billionaire entrepreneur proposes displaying targeted ads in response suggestions when users are trying to solve a problem, enhancing the ad-targeting capabilities through xAI technology acquired by X earlier this year for $45 billion.

Source: https://techcrunch.com/2025/08/07/elon-musk-says-x-plans-to-introduce-ads-in-groks-responses