Elon Musk’s xAI has landed a major government deal as the Trump administration approved its chatbot Grok for federal use. The agreement, handled through the General Services Administration, grants agencies access to Grok 4 and Grok 4 Fast for 18 months at just $0.42 per organization.
The contract, which runs until March 2027, is the longest ever signed under the OneGov AI program. To support adoption, xAI will also provide engineers to help agencies integrate the tools. Musk said the move will let the government innovate faster and work more efficiently.
Not everyone is on board. More than 30 consumer groups urged the administration to block Grok, arguing it did not meet requirements for objectivity and neutrality in federal AI systems. Despite those objections, the deal was approved as part of a larger push to expand AI in government.
The approval comes as Musk highlights the potential of Grok 5, which he believes could achieve artificial general intelligence. It also follows simil...