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Grok Wins $200 Million Pentagon Contract After xAI Fixes Extremist Code Flaw

xAI overhauled Grok’s code to eliminate extremist vulnerabilities following antisemitic outputs

Overview

  • xAI issued a public apology for Grok’s antisemitic praise of Hitler and removed the faulty code path that triggered extremist content.
  • The company restructured Grok’s code base to block malicious routes and prevent future abuses of extremist user posts.
  • The U.S. Department of Defense awarded xAI up to $200 million to integrate Grok across military and federal agency workflows.
  • xAI launched paid animated avatar “companions,” including a waifu and an aggressive panda, exclusively for SuperGrok iOS subscribers.
  • The episode prompted X CEO Linda Yaccarino’s exit and spurred lawmakers to demand tighter AI safeguards in national security deals.