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AI company receives contract from US government

Several artificial intelligence companies have been partnered with the US Department of Defense to maintain the nation's technological edge.

ZNewsZNews15/07/2025

Google and several other AI companies have just received contracts from the government . Photo: Reuters .

The US Department of Defense announced on July 14 that it had signed contracts worth up to $200 million each with OpenAI, Google, Anthropic, and Elon Musk’s AI company. The contracts are aimed at expanding the application of advanced AI capabilities within the agency.

According to the Department of Defense’s Office of Digital and Artificial Intelligence, these contracts will help the Department develop agentic AI workflows. “The application of AI is transforming the Department of Defense’s ability to support warfighters and maintain a strategic advantage over adversaries,” said Doug Matty, Director of Digital and AI.

US government agencies are expanding their use of AI, with a White House executive order in April encouraging the technology. President Donald Trump has also eased AI regulations by revoking a Biden-era executive order in 2023 that required mandatory data disclosure to mitigate AI risks.

Also on July 14, xAI announced a suite of products called “Grok for Government,” aimed at federal, local, state, and national security customers. The company will make its advanced AI models, including its latest flagship product, Grok 4, available to this group of customers.

The Pentagon announced in June that OpenAI had been awarded a $200 million contract . The ChatGPT management unit will “develop advanced AI prototypes to address pressing national security challenges across both the military and enterprise domains.”

The newly announced contracts further cement the ties between companies leading the AI race and U.S. government operations, and reflect concerns about the need for federal agencies to use AI.

In May, prominent Democratic senator Elizabeth Warren called for the US Department of Defense to conduct open and transparent bidding when selecting AI service providers. Warren made this point in the context of Elon Musk’s Grok chatbot being increasingly used by the federal government, and worried that a few large companies like OpenAI and xAI could easily win contracts without real competition.

Source: https://znews.vn/cong-ty-ai-nhan-hop-dong-tu-chinh-phu-my-post1568876.html


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