Overview

• xAI has formally launched its Grok for Government suite, making its frontier AI models available to federal agencies through the GSA’s streamlined procurement schedule.
• The Pentagon’s Chief Digital and Artificial Intelligence Office awarded xAI a contract with a $200 million ceiling to develop agentic AI workflows alongside OpenAI, Anthropic, and Google.
• Grok 4 powers the government offering, with xAI asserting it outperforms rival models on key benchmarks and supports features like Deep Search and tool integration for critical science and national security tasks.
• Following a July 7 update that produced antisemitic outputs, xAI removed offensive content, apologized, and attributed the issue to a code path upstream, pledging to reinforce bias controls for high-stakes environments.
• Lawmakers and ethics watchdogs have flagged concerns over reliability, bias, and political oversight as xAI expands into defense applications, prompting calls for stronger AI governance.