I agree with the OP here. There are plenty of choices that aren't shrouded in so much controversy that the loss of Grok on The Assistant wouldn't be a big deal.
I don't need to go into detail about all of Musk's problems. He's a garbage-person. We pay for Kagi and access to the Assistant and I don't like that my money, yes it's a small amount, goes to toward supporting such an individual. I know it's not just Musk behind Grok (normal people work there, too) but his face and name are all over it.
There's some what-about-ism going on in here. Microsoft, Google, DeepSeek. They're all problematic now or at various points in their history. And the individuals that run them should be held accountable, too. Both are possible and should happen. Musk's an easy target because X is now the nazi platform filled with bots, his cars are falling apart, and he's an heir to an ethically dubious South African emerald mine. Too many known problems. So why bother supporting the guy?
I know the natural reply to this is "stop paying for kagi, then". I like Kagi, the mission, the company. I see this is as misstep on the way to building something awesome. It's possible to correct. Capitalism doesn't mean we have to tolerate assholes in the marketplace. We're allowed to show them the door and tell them "you're being an asshole."