Elon Musk's xAI Signs Contract to Provide Grok AI Chatbot to US Federal Agencies Through 2027

Sep 26, 2025 02:24 am CST

Elon Musk's xAI has secured a contract with the U.S. General Services Administration to provide its Grok AI chatbot to federal agencies through March 2027. The deal offers Grok 4 and Grok 4 Fast models at 42 cents per organization, undercutting OpenAI's ChatGPT pricing. This agreement is part of the GSA's "OneGov Strategy" to standardize technology procurement and expand AI adoption across government operations, joining other providers like Meta, Google, and Anthropic in the federal AI ecosystem.