xAI Launches Grok4 Free Model, Intensifying AI Competition with OpenAI

In a significant development in the AI industry, xAI has announced that its latest model, Grok4, is now freely available to all users. This move comes just three days after the release of GPT-5 by OpenAI, intensifying the competition between the two tech giants. Free users of Grok4 are granted a limited number of queries per day, with the exact number being three to five queries every 12 hours. Once this limit is reached, users are prompted to subscribe for continued access, or they can revert to using the older Grok3 model. This restriction has sparked widespread criticism from users, who argue that xAI's claim of "relaxed usage" is misleading.

The decision by xAI to offer Grok4 for free is seen as a direct response to the launch of GPT-5, highlighting the fierce competition in the AI industry as both companies vie for user attention and market share. The free availability of advanced AI models is expected to drive user adoption and engagement, potentially reshaping the landscape of AI services. However, the limitations imposed on free users may also influence user satisfaction and loyalty, as they are required to either pay for additional queries or downgrade to an older model.

Grok4 and GPT-5, despite both offering free access, have distinct technological paths and functional features. GPT-5 focuses on professional capabilities, such as generating visually coordinated websites, applications, and game prototypes based on single prompts. It also boasts a significantly reduced hallucination rate, particularly in the healthcare sector, where it can provide personalized recommendations. OpenAI's CEO has emphasized that GPT-5 offers an experience akin to conversing with a doctoral-level expert in various fields. In contrast, Grok4 excels in deep reasoning capabilities, achieving a 25.4% accuracy rate on the HLE benchmark without tools, and 44.4% with multi-agent collaboration. It also supports real-time information integration from X platform, capturing social dynamics and event correlations.

Both companies have introduced features to enhance user engagement and emotional connection. OpenAI has integrated four personality frameworks into ChatGPT-5, allowing users to switch between different conversational styles. Meanwhile, xAI has launched Ani, a virtual companion with a high-fidelity personality model, aiming to build emotional bonds and increase user loyalty. However, there are concerns about users becoming overly reliant on AI, with OpenAI's CEO expressing caution about the potential risks and benefits of such dependence.

The competition between Grok4 and GPT-5 underscores the rapid advancements in AI technology and the strategic maneuvers by companies to capture a larger share of the market. As the AI industry continues to evolve, it remains to be seen how these companies will adapt their strategies to maintain a competitive edge while addressing user concerns and expectations. The free availability of advanced AI models is likely to drive further innovation and user engagement, reshaping the AI service landscape in the process.