Elon Musk announced Terafab, a new chip factory near Austin run by Tesla and SpaceX, to produce chips for AI, robotics, and space data centres. The facility aims to make up to one terawatt of computing power per year to meet demand that current suppliers cannot handle.

Three Tennessee teens sued xAI, saying its AI Grok made sexual images from their real photos. They claim the company knew the risks and want damages and a stop to further abuse.

Senators Elizabeth Warren and Andy Kim have asked the Pentagon to investigate possible Chinese investment in SpaceX, citing national security risks. The request comes after Elon Musk announced a $1.25 trillion merger of SpaceX with his AI company xAI.

French prosecutors raided X’s Paris office and summoned Elon Musk and former CEO Linda Yaccarino for questioning on 20 April 2026 over claims that the platform’s algorithms and its AI chatbot Grok spread illegal and harmful content. A French politician has publicly warned Musk not to travel to France, saying he could be detained, and compared the case to the earlier arrest of Telegram founder Pavel Durov.

Elon Musk denied reports that xAI raised an extra $15 billion, after claims surfaced suggesting the company had secured new funding. The rumour spread through media outlets, but Musk said it was false and gave no further details.

Elon Musk’s company xAI has sued OpenAI, claiming it stole trade secrets by poaching engineers and taking confidential code and techniques. xAI is seeking damages and orders to remove the stolen materials, while the case highlights a legal battle over employee recruitment and intellectual property.

Elon Musk’s companies have sued Apple and OpenAI, claiming their deal to put ChatGPT on iPhones blocks rivals like xAI’s Grok. The case argues Apple and OpenAI are using their market power to limit competition in AI and smartphones.

Elon Musk has accused Apple of favouring OpenAI’s ChatGPT in the App Store, claiming this blocks his AI app, Grok, from reaching the top spot. Apple denies any bias, while Sam Altman fired back at Musk’s claims, leading to a public clash between the two tech figures.

OpenAI has hired four senior engineers from Tesla, xAI, X, and Meta to strengthen its AI infrastructure team. This move highlights the fierce competition between major tech firms to secure top talent in the race to build advanced AI systems.

Elon Musk’s artificial intelligence company, xAI is being accused of environmental racism, after its data centre was caught violating the Clean Air Act.