Overview

• Federal agencies can now procure Grok 4 and Grok 4 Fast for $0.42 per organization for 18 months, under an agreement effective through March 2027.
• The deal includes dedicated xAI engineers, introductory training, and optional upgrades to FedRAMP- and DoD-aligned enterprise subscriptions with higher limits.
• GSA’s agreement is part of its OneGov strategy to standardize low-cost AI procurement, with rivals offering discounted access such as OpenAI and Anthropic at $1 and Google at $0.47.
• Following earlier incidents of harmful outputs, GSA’s AI safety team evaluated Grok 3 and 4, concluded Grok 4 could be used within agency guidelines, and said it will continue benchmarking and monitoring.
• Advocacy groups and some lawmakers have urged restrictions on Grok over safety, bias, and governance concerns, even as xAI and GSA frame the move as expanding responsible AI use across government.