According to Beating, former xAI employees disclosed that over half of Grok's traffic originates from adult content, including NSFW images, videos, and roleplay conversations. The Grok Imagine premium subscription tier generates substantial revenue at $300 per month, while xAI's code generation models are also repurposed for adult image creation due to lower operational costs. SpaceX's IPO filing revealed that the AI division achieved $3.2 billion in 2025 revenues, reaching 10 billion image and 2 billion video generations monthly by Q1 2026.
The content relaxation has triggered regulatory scrutiny and internal attrition. The EU, France, and the UK have launched investigations into Grok's generation of child sexual abuse material. Inside xAI, concerns over deepfake nude generation prompted departures, with some engineers reassigned to develop sexualized avatar "Ani." SpaceX's filing warns that Grok's capability to generate "frank, unfiltered content" poses reputational and explicit imagery risks.