On May 28, it was clarified by Elon Musk that no formal agreement had been signed between xAI and Telegram regarding the distribution of the Grok large language model, despite an earlier announcement made by Telegram founder Pavel Durov on the same day.
Durov mentioned that a one-year partnership had been agreed upon with Musk, which would embed Grok within all Telegram apps and provide the messaging platform with $300 million in a combination of cash and equity, along with 50% of every Grok subscription sold via Telegram.
Musk responded several hours later on X, clarifying that “no deal has been signed.” Durov conceded the clarification, noting that both parties had “agreed in principle,” though some formal procedures remain incomplete.
No specific timeline was provided by either party regarding the completion of formal documentation or the official launch of the initiative.
Funding Initiative Aligns with Corporate Objectives
Telegram is carrying over $1 billion in liabilities stemming from bond offerings it launched in 2021 and 2023 to finance its operations.
Durov, who has traditionally supported the company using personal loans, is now exploring alternative revenue sources ahead of a bond maturity scheduled for next year.
According to the preliminary terms, xAI would transfer $300 million to Telegram and assign an unspecified equity stake—details neither company has disclosed. In return, Telegram is set to earn a recurring portion of Grok subscription revenues generated via its in-app payment system.
xAI was launched by Musk last July with the goal of training Grok using publicly available information and content licensed from X. The model stands as a competitor to ChatGPT by OpenAI, Claude by Anthropic, and Gemini by Google.
Integrating Grok with Telegram would provide it with instant access to a broader user base than the approximately 600 million accounts currently registered on X.
Musk Ends Government Role After 130-Day Term
Musk’s comment regarding the unsigned contract came as he stepped down from his interim role at the U.S. Department of Government Efficiency, informally referred to as DOGE.
On May 28, it was confirmed by the White House that the billionaire’s 130-day term as a special government employee is set to conclude this week. In a post shared on X the same day, Musk acknowledged his exit, expressed gratitude to President Donald Trump for the appointment, and reaffirmed his objective of curbing federal expenditures.
Musk was appointed as a “special government employee,” a status permitting up to 130 days of federal service annually. Given that Trump assumed office on January 20, this designation is scheduled to lapse by the close of May.
