Tesla (TSLA) CEO Elon Musk’s AI start-up xAI (PC:XAIIQ) is developing a new kind of model designed to understand the real world, not just text. These systems, known as world models, learn from video and robot data to study how objects move and interact. The goal is to help machines see and reason more like humans.
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Moving Beyond Text-Based AI
xAI has hired two former Nvidia (NVDA) researchers, Zeeshan Patel and Ethan He, to help build the new models. Nvidia has been developing similar tools through its Omniverse platform, which creates virtual worlds and runs simulations. According to Nvidia, the market for world models could grow to a size similar to the global economy, showing how much potential this area holds.
At the same time, Musk said xAI plans to release an AI-generated video game before the end of next year. The company also launched a new image and video generation model this week. It said the model brings major upgrades and is free to use. The hires and product launch show that xAI wants to move past language and enter areas such as gaming and robotics, where the technology can act and react in physical spaces.
Jobs and Future Goals
To support this push, xAI is hiring more people in image, video, and audio research. There is also an open role for a “video games tutor” who would train Grok, xAI’s chatbot, to help users create games.
However, the task remains complex. Training AI to understand the physical world requires large amounts of data, time, and money. Some developers in the gaming industry say the challenge is not in the math but in the creative vision behind the games. Still, the potential is clear as world models could help connect software and the physical world, from virtual games to future robots. By moving in this direction, xAI joins Google (GOOGL) and Meta Platforms (META), which are also building similar systems.
Using TipRanks’ Comparison Tool, we’ve compared some of the notable companies that employ chatbots similar to xAI’s Grok.
