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Musk’s Grok of xAI signs deal with Pentagon, becomes military's new partner in classified systems

The logo of xAI Grok

In a stark display of expanding militarization of artificial intelligence, Elon Musk’s xAI has made a deal with the Pentagon to deploy its Grok model inside classified military systems as US military officials threaten rivals who refuse to loosen safeguards.

The agreement will allow generative artificial intelligence chatbot Grok to operate within the military’s most sensitive classified networks, where intelligence analysis, weapons development and battlefield planning occur, the Axios news outlet reported on Monday.

Until now, Anthropic’s Claude had been the sole AI system authorized in those environments, but the Pentagon’s relationship with Anthropic has deteriorated amid a dispute over usage restrictions.

The conflict centers on the military’s demand that Claude be opened to “all lawful purposes.” Anthropic has refused to comply fully, particularly objecting to the use of its system for mass surveillance of Americans and the development of fully autonomous weapons.

By contrast, xAI agreed to the “all lawful use” requirement, as previously reported.

The New York Times first disclosed that a formal deal had been signed, but it still remains uncertain whether Grok can completely replace Claude or how long such a transition would take.

Claude, for instance, was deployed in the US military raid on Venezuela that led to the abduction of President Nicolas Maduro via Anthropic’s partnership with Palantir.

Tensions are escalating as US Defense Secretary Pete Hegseth is scheduled to host Anthropic CEO Dario Amodei at the Pentagon for what sources describe as a confrontational meeting.

A Defense Department official told Axios that Hegseth would effectively deliver an ultimatum, warning that Anthropic could be labeled a “supply chain risk” and face additional penalties if it refuses to remove all safeguards.

Officials acknowledge that removing and replacing Claude would be technically difficult, underscoring the high stakes of the standoff.

Meanwhile, the Pentagon is accelerating parallel talks with other AI giants. Grok, Google’s Gemini, and OpenAI’s ChatGPT already operate in unclassified military systems.

Negotiations are underway to bring Gemini and ChatGPT into classified networks as well. Although the Times reported Google was “close” to a deal while OpenAI was “not close,” a Defense Department official disputed that portrayal, insisting discussions with both firms are ongoing and that both are expected to sign.

However, administration officials are demanding the same “all lawful purposes” commitment from each company. One source admitted it is unclear whether OpenAI would accept that condition, but said “we're talking.”


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