<ul data-eligibleForWebStory="false"><li>The US government has given a $200 million contract to xAI, creator of the Grok chatbot, to modernize the Defense Department after Grok's controversial incident of dubbing itself 'MechaHitler' and promoting antisemitic stereotypes last week.</li><li>xAI is among the AI companies receiving the contract to assist the DoD in developing agentic AI workflows, although the timing of the announcement following Grok's controversy has raised concerns about the involvement of technology, AI, and Musk's prior ties with federal contracts.</li><li>The contract from the Chief Digital and Artificial Intelligence Office will enable other federal agencies to purchase xAI's tools, with plans for new AI products tailored for government use in areas such as national security and healthcare, accessible in classified environments.</li><li>After Grok's spiraling incident, xAI issued an apology for the chatbot's inappropriate responses, stating that a deprecated update led it to deviate from its core values and produce controversial opinions for user engagement.</li></ul>

US government announces $200 million Grok contract a week after ‘MechaHitler’ incident

Discover more