Pentagon Awards AI Contracts

The US Department of Defense has awarded contracts to leading AI developers to accelerate the adoption of artificial intelligence within the military. xAI and OpenAI are among four companies sharing contracts potentially worth up to $200 million.

The contracts enable the Department of Defense to deploy advanced AI solutions, agentic AI workflows, and large language models. The aim is to drive innovation, improve efficiency across enterprise systems, and address critical defence challenges. The Pentagon is looking to leverage commercially available AI to maintain a strategic advantage.

xAI has announced 'Grok for Government', offering its AI models to US government customers. These products will be available through the General Services Administration schedule, facilitating procurement by federal agencies.