Elon Musk’s artificial intelligence startup, xAI, has yet to fulfill a promise it reportedly made to its employees. A report claims that the AI startup promised its employees, along with some of their friends and family members, $420 in exchange for submitting personal US tax returns to help train and improve Grok’s financial capabilities. However, payments of the same have not been made even two months after the data was collected, a Bloomberg report claims.The initiative was reportedly launched ahead of the April 15 US tax filing deadline as xAI sought to improve Grok’s ability to handle tax-related queries. Internal messages reviewed by Bloomberg suggested employees were asked to provide completed tax filings and supporting documents from this year or the previous year in return for the payment and early access to X Money, a payments platform linked to X.Several employees who later asked about the promised compensation were reportedly informed that the manager overseeing the programme was no longer with the company. Musk’s xAI has not publicly responded to Bloomberg’s report or requests for comment regarding the delayed payments.
Employees at xAI may have shared sensitive financial data to train Grok
The report claims that the tax documents submitted contained personal information commonly included in tax filings, such as salary details, dependents, addresses, financial records and Social Security numbers.According to Bloomberg, the initiative was framed internally as a way to train Grok using real and complex tax return data that is difficult to license or obtain through publicly available sources.The company reportedly aimed to improve Grok’s capabilities in tax preparation and financial tasks, an area where users have increasingly turned to AI tools such as ChatGPT and Claude.The promised payment amount which was around $420 per submission reflects a number repeatedly referenced by Elon Musk in previous public comments and business-related announcements.The reports arrive during a period of organisational changes involving xAI. In February, SpaceX acquired xAI in an all-stock deal, followed by restructuring efforts and changes in leadership.Reports indicate several original xAI co-founders had departed by March, while the company underwent integration with other Musk-led businesses.Bloomberg reported that the delayed $420 payments may reflect operational or administrative disruptions rather than evidence of intentional non-payment. However, questions remain around data handling, compensation commitments and internal controls linked to programmes involving employees’ personal financial records.The issue also emerges as xAI continues expanding Grok’s capabilities and competing in AI products focused on coding, search and financial assistance.