GENERAL
2 min readUS Government Contracts Musk's xAI for Grok Access at $0.42 Per Agency
TrueGov Editorial Team•4 months ago•2 min read
Federal deal provides AI services through 2027 as part of broader tech modernization
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The U.S. government has entered into a multi-year agreement with xAI, Elon Musk's artificial intelligence company, to provide federal agencies access to Grok AI models. The contract, priced at $0.42 per agency, represents one of the lowest rates in recent government AI procurement compared to competitors like OpenAI and Anthropic, which charge approximately $1 per agency. The agreement will remain active until March 2027 and includes technical support from xAI engineers to assist with implementation.