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Musk’s Grok 3 Challenges OpenAI’s AI Crown

PLUS: AI can write genomes from scratch, interview with Dan Shipper, and Microsoft announces quantum leap with new state of matter

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1) Things Are Getting Better

2) Musk’s Grok 3 Challenges OpenAI’s AI Crown

Elon Musk has done it—and yeah, some folks won’t be thrilled since it’s from him. But, if you’re following AI, you need to know where things are at. And despite Grok 3 not getting a lot of media attention, unlike the overhyped DeepSeek, Grok 3 is a really big deal.

In under two years, xAI has gone from nothing to nearly catching OpenAI with Grok 3, their latest model. The benchmarks don’t lie—it’s a top-tier player now:

I’ve been saying it on The Next Wave podcast for over a year: xAI’s the real threat to OpenAI’s crown. OpenAI might still be ahead internally, but velocity’s the key, and xAI seems to be moving faster than anyone out there.

Try Grok 3 yourself. It’s free for now—jump in via X/Twitter, grok.com, or the new iOS app. API access is coming soon, and they’re rolling out a voice mode to rival ChatGPT’s advanced voice mode as well.

I’m hooked— Grok 3 is fast, wicked smart, and the most fun AI I’ve tried. My tests rank it #2 overall, just behind o1 Pro for coding but topping Claude for writing and everything else. Claude’s benched; Grok’s my new sidekick when I want to discuss business, my personal life, my game project, or anything else.

The race is on fire now. Anthropic is probably rushing Claude 4. OpenAI has GPT 4.5 coming out very soon and GPT 5 in months.

We’re accelerating faster than ever before now. Get ready.

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3) Will AI Replace SaaS?

This week on The Next Wave, Matt and I talked with our guest, Dan Shipper, about the future of SaaS in the Age of AI. We also talked about Dan's company Every and the cool stuff they're building, like an AI agent for email and much more. Check it out!

Also, please subscribe to The Next Wave on Apple, Spotify, and YouTube! It would mean a lot to HubSpot and us. 🙂  

4) Microsoft Announces Quantum Leap with New State of Matter

Today, Satya Nadella, CEO of Microsoft, posted on X and announced a new state of matter that could finally turn quantum computing from a perennial "next decade" promise into reality—potentially within years.

Imagine having a computer in your house that’s stronger than every computer that exists today. That’s possibly where we’re headed with this technology and when you combine that with the advancements in AI, things accelerate majorly.

We’re entering a period where the next 10 years could feel like 1000 years of progress.

This matters hugely for AI: a quantum leap in compute power could supercharge AI models, solving problems—from drug discovery to climate modeling—that current systems can’t touch, accelerating AI’s impact on the world.

5) Things I’m Learning From

That’s all for today. Please consider sharing the newsletter with your friends if you think they’d enjoy it. 🙏

Please give me feedback on Twitter. I am still figuring out the best format for this newsletter. Which part did you like? Dislike? Do you have other suggestions? Please let me know—just tweet @NathanLands.

-Nathan

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