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HomePoliticsCWEB Business News: U.S. Government Forges Landmark AI Partnership with Elon Musk's...

CWEB Business News: U.S. Government Forges Landmark AI Partnership with Elon Musk’s xAI

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(Official White House Photo by Daniel Torok)

In a significant move to modernize federal operations, the General Services Administration (GSA) has announced a pivotal agreement with Elon Musk’s xAI to integrate its advanced Grok artificial intelligence models across all federal agencies. This partnership, detailed on the GSA’s official website, establishes a framework to accelerate the widespread adoption of cutting-edge AI technology within the U.S. government.

The arrangement, formalized under the GSA’s OneGov bulk-buying program, grants every federal agency access to the entire suite of Grok AI models. In an unprecedented terms, the contract is set for an 18-month duration, extending through March 2027, representing the longest OneGov agreement to date. Access is being offered at a nominal rate of $0.42 per organization, ensuring cost-effective implementation.

Effective September 24, 2025, federal bodies can utilize established GSA procurement channels to deploy Grok’s capabilities. Federal Acquisition Services Commissioner Josh Gruenbaum commented on the initiative, stating, “Widespread access to advanced AI models is essential to building the efficient, accountable government that taxpayers deserve—and to fulfilling President Trump’s promise that America will win the global AI race.”

@cwebnews 

Echoing this sentiment, xAI co-founder and CEO Elon Musk remarked, “xAI possesses the most powerful AI compute and most capable models in the world. Thanks to President Trump and his administration, xAI’s frontier AI is now unlocked for every federal agency, empowering the U.S. government to innovate faster and accomplish its mission more effectively than ever before.”

This initiative aligns with President Trump’s stated priority of leveraging artificial intelligence to secure America’s position as the global leader in technological innovation.

@realDonaldTrump @POTUS @CWEB @CWEBBusinessNews #DonaldTrump @ElonMusk @xAI @GSAgov #AI #GovernmentTech #FederalInnovation #Grok #xAI #PublicSector #TechNews

 

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