Elon Musk stated on May 28 that xAI had not signed an agreement with Telegram to distribute the Grok large language model, despite Telegram founder Pavel Duvov’s announcement earlier on the same day.

Durov wrote that he and Musk “agreed to a one-year partnership” that would place Grok inside all Telegram applications and give the chat platform “$300 million in cash and equity,” plus half of every Grok subscription sold through Telegram. 

Musk replied hours later on X that “no deal has been signed.” Durov acknowledged the point, saying the two sides had “agreed in principle” while “formalities are pending.” 

Neither party disclosed a target date for completing the final paperwork or launching the project.

Funding push meets corporate goals

Telegram carries more than $1 billion in debt linked to bond issues it floated in 2021 and 2023 to fund operations. 

Durov, who has long financed the company through personal loans, seeks new income streams before a bond maturity next year. 

Under the draft terms, xAI would wire $300 million to Telegram and place an equity stake that both companies declined to quantify. Telegram would also receive a recurring share of Grok fees collected through its in-app purchase channels.

Musk launched xAI last July to train Grok on public data and content licensed from X. The model competes with OpenAI’s ChatGPT, Anthropic’s Claude, and Google’s Gemini. 

A Telegram integration would give Grok an immediate reach larger than X’s roughly 600 million registered accounts.

Musk closes government participation

Musk’s statement on the unsigned contract arrived as he exited his temporary seat at the US Department of Government Efficiency, known internally as DOGE. 

The White House confirmed on May 28 that the billionaire’s 130-day allotment as a special government employee ends this week. Musk confirmed his departure in a May 28 X post, thanking President Donald Trump for the appointment and reiterating his goal of reducing federal spending.

Musk filled the designation of “special government employee,” which allows him to work a federal job for 130 days each year. Considering Trump’s first day at the White House on January 20, the designation would expire at the end of May.

The post Musk says no deal signed with Telegram despite Grok integration announcement appeared first on CryptoSlate.

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Filed under: Bitcoin - @ May 29, 2025 7:20 pm