Elon Musk’s xAI, known for its large language model that has previously generated Hitler-supporting rhetoric and antisemitic tropes, announced on Monday that it has signed a deal with the US Department of Defense. The chatbot, branded as “Grok for Government,” will now offer its services to federal agencies.
Elon Musk’s xAI just landed a contract with the U.S. Department of Defense.
“Grok for Government” will now supply frontier AI models to federal agencies. pic.twitter.com/wtU1xknBzC
— TFTC (@TFTC21) July 14, 2025
Grok’s Controversial History
Launched at the end of 2023, Grok has not been far from controversy, frequently making headlines for its offensive gaffes. The new partnership allows:
“Every federal government department, agency, or office (to) purchase xAI products,” the company stated.
In recent updates, Grok had been criticized for praising Adolf Hitler, denouncing “anti-white hate,” and labeling Jewish representation in Hollywood as “disproportionate.” In response to this backlash, xAI apologized and mentioned that it had corrected the instructions leading to such incidents.
Recent Developments
The latest version of the chatbot, Grok 4, was presented on Wednesday and was observed to consult Musk’s positions on various questions before generating responses. This raises concerns about the guidance and biases embedded in the AI model.
Turbulent Relations with Trump
Interestingly, this contract comes amid a bitter feud between Musk and President Donald Trump. The two had previously shared a close relationship during Trump’s latest presidential campaign, with Musk appointed to lead the new agency known as DOGE, aimed at streamlining the government by reducing civil service roles.
After ending his assignment in May, Musk did not hold back in criticizing Trump’s major budget bill for increasing government debt. The interactions between the two have seen heated exchanges on social media as Musk later apologized for some combative remarks.
A Growing Market for AI in Government
The engagement with the Department of Defense illustrates the potential growth opportunities in the government and defense sectors for AI companies. Notably, Meta has partnered with the startup Anduril to create virtual reality headsets for military applications, while in June, OpenAI secured a contract to provide AI services to the US military.
