
Elon Musk’s ‘Grok’ inks contract with Trump’s Department of Defense
Despite political sparring between Musk and Trump, the Department of Defense has inked a deal with xAI
by Summer Lane | July 14, 2025
Elon Musk’s xAI has snagged a multi-million-dollar contract with the U.S. Department of Defense that will enable federal departments to access critical AI products in a rapidly evolving tech world.
The contract includes a $200 million ceiling with the DOD, and will introduce “Grok For Government,” a suite of “frontier AI products” that will be made available to the U.S. federal workers.
“Grok” is the name of Elon Musk’s AI system, which many users are likely familiar with through its integration into the social media platform, X. This newest branch of xAI expands on the superintelligence of Grok and will allow products to be purchased through the General Services Schedule (GSA).
“These customers will be able to use the Grok family of products to accelerate America – from making everyday government services faster and more efficient to using AI to address unsolved problems in fundamental science and technology,” the company said in its announcement.
With this announcement, xAI also revealed that this suite of AI tools will include “Grok 4,” which is the newest version of Grok. “Our government partnerships will also bring to bear tools like Deep Search, Tool Use, and more integration – all of which are industry-leading commercial products,” the company said.
Products in this suite that will be available include AI-powered applications for use in healthcare, national security, and science. The company also foreshadowed the use of AI tools in “classified and other restricted environments.”
Earlier this year, President Donald Trump signed an executive order setting the federal tone in terms of AI innovation titled “Removing Barriers to American Leadership in Artificial Intelligence.”
“It is the policy of the United States to sustain and enhance America’s global AI dominance in order to promote human flourishing, economic competitiveness, and national security,” the order read.
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