xAI released Grok-3 on July 22 2026 with an 8 million token context window and built-in real-time web search capabilities. The model achieved 94.2 percent on MMLU and 89 percent on GPQA Diamond benchmarks. Initial API pricing starts at 15 dollars per million input tokens and 60 dollars per million output tokens.
Enterprise customers including Stripe and Shopify received early access starting July 19. Grok-3 processes multimodal inputs including video at 120 frames per second. xAI trained the model on a 22 trillion token dataset using 100000 H100 GPUs over 14 weeks.
Background development began in January 2026 after xAI secured a 6 billion dollar Series B round led by Andreessen Horowitz. The company hired 180 researchers from DeepMind and Meta in the preceding six months. Grok-3 training incorporated constitutional AI techniques refined from Grok-2 feedback loops.
Competitors released similar context lengths earlier this year but none matched Grok-3's web integration speed. xAI open sourced the inference stack under an Apache 2.0 license on July 23.
Why this matters
The release intensifies the race for long-context reasoning models that can handle entire codebases or legal libraries in single prompts. Enterprises gain a new option that avoids data sharing with OpenAI or Google. Pricing undercuts Anthropic Claude 4 Opus by 25 percent on output tokens.
Analysts expect xAI valuation to reach 40 billion dollars within six months. Regulators in the EU are already reviewing the model's web access features for potential DMA compliance issues.
xAI plans to release Grok-3 Mini for consumer devices by September 2026 and expand data center capacity to 300000 GPUs by year end.