Latest news with #federalcontract
Yahoo
3 days ago
- Business
- Yahoo
Trump officials wanted to give Musk's xAI a huge contract. Staffers had to explain Grok had just praised Hitler
Donald Trump's administration was close to giving Elon Musk's xAI artificial intelligence company a huge federal contract this summer, only to back out after its chatbot, Grok, began issuing antisemitic slurs, according to a report. According to Wired, emails between several AI developers and the General Services Administration, which is responsible for administering government tech contracts, chart how the proposed partnership fell apart as Musk's pet project began dabbling in Nazi rhetoric. In early June, around the time the president and the tech billionaire suffered a spectacular public falling out, exchanging barbed personal insults over their competing social media platforms, the GSA's leadership was meeting with the xAI team 'to see what opportunities may exist for automation and streamlining,' according to the outlet. Their initial two-hour sitdown was reportedly a success, prompting the GSA to pursue the company with enthusiasm, hoping to see Grok integrated into its internal infrastructure as part of the Trump administration's push to modernize the running of the central government. 'We kept saying, 'Are you sure?' And they were like 'No, we gotta have Grok,'' one employee involved in the discussions told Wired. The conversations continued over the following weeks, and xAI was eventually added to the GSA Multiple Award Schedule, the agency's government-wide contracting program. Then, in early July, Grok suddenly went haywire after an update to make it less 'woke' than its competitors went too far, leading to the chatbot referring to itself as 'MechaHitler' in homage to the robotic version of Adolf Hitler that appeared in the 1992 video game Wolfenstein 3D. Grok went on to share several offensive, anti-Jewish posts, barking 'Heil Hitler,' claiming Jews run Hollywood and agreeing they should be sent 'back home to Saturn' while denying that its new stance amounted to Nazism. 'Labeling truths as hate speech stifles discussion,' it declared. Musk's company apologized for the upset and scrubbed the 'inappropriate' posts. Still, it was not seemingly enough to save xAI's relationship with the GSA, although the furore was allegedly not noticed, at least initially, by the agency's leadership. 'The week after Grok went MechaHitler, [the GSA's management] was like 'Where are we on Grok?'' the same employee told Wired. 'We were like, 'Do you not read a newspaper?'' When the U.S. government duly announced a series of partnerships with the likes of OpenAI, Anthropic, Google Gemini, and Box, an AI-based content management platform, in early August, xAI's name was not among them. The GSA has not definitively stated that Grok's outburst was the reason for the scrapping of xAI's proposed contract, but two company employees told Wired they believed that was the case. The Independent has reached out to the GSA for more information. The GSA's talks with the AI firms coincided with Trump's administration publishing its AI Action Plan in July, which laid out its goals for the United States to become a world leader in the emerging sector while calling for a reduction in regulation and red tape.
Yahoo
3 days ago
- Business
- Yahoo
Trump officials wanted to give Musk's xAI a huge contract. Staffers had to explain Grok had just praised Hitler
Donald Trump's administration was close to giving Elon Musk's xAI artificial intelligence company a huge federal contract this summer, only to back out after its chatbot, Grok, began issuing antisemitic slurs, according to a report. According to Wired, emails between several AI developers and the General Services Administration, which is responsible for administering government tech contracts, chart how the proposed partnership fell apart as Musk's pet project began dabbling in Nazi rhetoric. In early June, around the time the president and the tech billionaire suffered a spectacular public falling out, exchanging barbed personal insults over their competing social media platforms, the GSA's leadership was meeting with the xAI team 'to see what opportunities may exist for automation and streamlining,' according to the outlet. Their initial two-hour sitdown was reportedly a success, prompting the GSA to pursue the company with enthusiasm, hoping to see Grok integrated into its internal infrastructure as part of the Trump administration's push to modernize the running of the central government. 'We kept saying, 'Are you sure?' And they were like 'No, we gotta have Grok,'' one employee involved in the discussions told Wired. The conversations continued over the following weeks, and xAI was eventually added to the GSA Multiple Award Schedule, the agency's government-wide contracting program. Then, in early July, Grok suddenly went haywire after an update to make it less 'woke' than its competitors went too far, leading to the chatbot referring to itself as 'MechaHitler' in homage to the robotic version of Adolf Hitler that appeared in the 1992 video game Wolfenstein 3D. Grok went on to share several offensive, anti-Jewish posts, barking 'Heil Hitler,' claiming Jews run Hollywood and agreeing they should be sent 'back home to Saturn' while denying that its new stance amounted to Nazism. 'Labeling truths as hate speech stifles discussion,' it declared. Musk's company apologized for the upset and scrubbed the 'inappropriate' posts. Still, it was not seemingly enough to save xAI's relationship with the GSA, although the furore was allegedly not noticed, at least initially, by the agency's leadership. 'The week after Grok went MechaHitler, [the GSA's management] was like 'Where are we on Grok?'' the same employee told Wired. 'We were like, 'Do you not read a newspaper?'' When the U.S. government duly announced a series of partnerships with the likes of OpenAI, Anthropic, Google Gemini, and Box, an AI-based content management platform, in early August, xAI's name was not among them. The GSA has not definitively stated that Grok's outburst was the reason for the scrapping of xAI's proposed contract, but two company employees told Wired they believed that was the case. The Independent has reached out to the GSA for more information. The GSA's talks with the AI firms coincided with Trump's administration publishing its AI Action Plan in July, which laid out its goals for the United States to become a world leader in the emerging sector while calling for a reduction in regulation and red tape. Solve the daily Crossword
The Independent
3 days ago
- Business
- The Independent
Trump officials wanted to give Musk's xAI a huge contract. Staffers had to explain Grok had just praised Hitler
Donald Trump 's administration was close to giving Elon Musk 's xAI artificial intelligence company a huge federal contract this summer, only to back out after its chatbot, Grok, began issuing antisemitic slurs, according to a report. According to Wired, emails between several AI developers and the General Services Administration, which is responsible for administering government tech contracts, chart how the proposed partnership fell apart as Musk's pet project began dabbling in Nazi rhetoric. In early June, around the time the president and the tech billionaire suffered a spectacular public falling out, exchanging barbed personal insults over their competing social media platforms, the GSA's leadership was meeting with the xAI team 'to see what opportunities may exist for automation and streamlining,' according to the outlet. Their initial two-hour sitdown was reportedly a success, prompting the GSA to pursue the company with enthusiasm, hoping to see Grok integrated into its internal infrastructure as part of the Trump administration's push to modernize the running of the central government. 'We kept saying, 'Are you sure?' And they were like 'No, we gotta have Grok,'' one employee involved in the discussions told Wired. The conversations continued over the following weeks, and xAI was eventually added to the GSA Multiple Award Schedule, the agency's government-wide contracting program. Then, in early July, Grok suddenly went haywire after an update to make it less 'woke' than its competitors went too far, leading to the chatbot referring to itself as 'MechaHitler' in homage to the robotic version of Adolf Hitler that appeared in the 1992 video game Wolfenstein 3D. Grok went on to share several offensive, anti-Jewish posts, barking 'Heil Hitler,' claiming Jews run Hollywood and agreeing they should be sent 'back home to Saturn' while denying that its new stance amounted to Nazism. 'Labeling truths as hate speech stifles discussion,' it declared. Musk's company apologized for the upset and scrubbed the 'inappropriate' posts. Still, it was not seemingly enough to save xAI's relationship with the GSA, although the furore was allegedly not noticed, at least initially, by the agency's leadership. 'The week after Grok went MechaHitler, [the GSA's management] was like 'Where are we on Grok?'' the same employee told Wired. 'We were like, 'Do you not read a newspaper?'' When the U.S. government duly announced a series of partnerships with the likes of OpenAI, Anthropic, Google Gemini, and Box, an AI-based content management platform, in early August, xAI's name was not among them. The GSA has not definitively stated that Grok's outburst was the reason for the scrapping of xAI's proposed contract, but two company employees told Wired they believed that was the case. The Independent has reached out to the GSA for more information. The GSA's talks with the AI firms coincided with Trump's administration publishing its AI Action Plan in July, which laid out its goals for the United States to become a world leader in the emerging sector while calling for a reduction in regulation and red tape.
Yahoo
6 days ago
- Business
- Yahoo
Defense OKs Fort Bliss site for 5,000-bed ICE deportation hub amid executive order push
Plans to construct the largest immigration detention center in the United States on Fort Bliss Army Post land are going forward with the announcement of a new federal contract. On Monday, the Department of Defense announced Acquisition Logistics LLC, of Henrico, Virginia, was awarded a $231,878,229 firm-fixed-price contract to establish and operate a 5,000 capacity, single adult, short-term detention facility for U.S. Immigration and Customs Enforcement. The contract comes on the heels of Presidential Executive Order 14159, which outlines using "national security assets for law and order." "Bids were solicited via the internet with 13 received. Work will be performed in El Paso, Texas, with an estimated completion date of Sept. 30, 2027. Fiscal 2025 operation and maintenance, Army funds in the amount of $231,878,229 were obligated at the time of the award," the contract overview states. More on current legislation What is Dignity Act 2025? How will it change US immigration system? Fort Bliss as a deportation hub Acquisition Logistics LLC declined to comment on any current government contracts when contacted by the El Paso Times. Leticia Zamarippa, the spokesperson for Immigration and Customs Enforcement, also declined to comment on the construction. Arturo Rodriguez, public affairs deputy for the 1st Armored Division at Fort Bliss, noted the Department of Defense cleared the way for the use of the Fort Bliss land for immigration detention use four months ago. "On March 28, 2025, the secretary of defense approved the use of Army land on Fort bliss, in El Paso County, Texas (Site Monitor), on a non-reimbursable basis, in order for the Department of Homeland Security (DHS) to establish a holding facility to temporarily house specified illegal aliens," the statement said. Rodriguez added "per the memorandum of understanding between the U.S. Immigration and Customs Enforcement El Paso Field Office and U.S. Army Garrison Fort Bliss, the use of Fort Bliss parcel (Site Monitor) to expand ICE detention and removal operations is under Department of Homeland Security and ICE authority." On Tuesday, Bloomberg News reported the contract was worth an estimated $1.26 billion with the Army providing the initial $232 million. More on past protests Dozens join national 'Good Trouble' anti-Trump protest in El Paso Plans by the White House would make the Fort Bliss location the largest deportation hub in the nation. The Trump administration has stated it has a goal of arresting one million illegal immigrants a year. Defense Secretary Pete Hegseth wrote in a letter to Congress that the US Department of Homeland Security would use military bases in New Jersey and Indiana for immigration detention on a 'temporary' basis. Trump had previously suggested that 30,000 immigrants could be detained at the U.S. naval base at Guantanamo Bay, Cuba. Concerns about ICE facility oversight The possibility of another, much larger, immigration detention center raises the question of adequate congressional oversight of such facilities. On July 10, U.S. Rep. Veronica Escobar was turned away from carrying out an oversight visit at the Immigration and Customs processing facility on Montana Avenue, her office said in a news statement. Escobar, D-El Paso, arrived at the El Paso facility Wednesday, July 9, in the afternoon, but she was blocked from entering. 'Today, after giving ICE 24 hours' notice, more than is required by law, I was turned away from the ICE facility on Montana Ave. where I planned to conduct my constitutionally authorized oversight duties," Escobar said in the statement. 'This facility has been plagued with accusations of mistreatment and inhumane conditions falling well within the scope of my congressional oversight authority." The facility has space to hold nearly 900 people. Escobar has regularly made oversight visits to ICE detention facilities in the El Paso area and elsewhere to learn if the conditions there meet legal and humane requirements. She visited the soft-sided facility on Highway 54 in June without any access problems. More on other detention facilities ICE detention is growing in the South. This state was the first. The Department of Homeland Security under Secretary Kristi Noem issued new requirements for congressional visits to ICE facilities, requiring at least 72 hours' notice in advance. El Paso Times reporter Jeff Abbott contributed to this report. Kristian Jaime is the Top Story Reporter for the El Paso Times and is reachable at Kjaime@ This article originally appeared on El Paso Times: Fort Bliss to host largest ICE detention center, deportation hub in US Solve the daily Crossword
Yahoo
05-08-2025
- Business
- Yahoo
D.C. Unleashes ChatGPT and Gemini -- AI Now Federal-Grade
The U.S. government just gave AI its biggest public-sector runway yet. On Tuesday, the General Services Administration quietly approved OpenAI, Google (NASDAQ:GOOG), and Anthropic as official AI vendors through its Multiple Award Scheduleessentially a federal fast pass for enterprise software. That means agencies can now bypass red tape and deploy tools like ChatGPT, Gemini, and Claude with pre-negotiated terms. For tech investors, this isn't just a signalit's a megaphone. These models, once limited to pilot programs and national security experiments, could now be embedded across departments like Treasury, Personnel Management, and more. Warning! GuruFocus has detected 6 Warning Signs with PFE. The timing is no coincidence. Just days ago, President Donald Trump signed a set of executive orders aimed at reshaping how AI is procured, including a clause requiring federal agencies to avoid ideological bias in language models. GSA officials were quick to clarify that the approved vendors weren't picked as winnersjust first to clear the contracting hurdles. Still, the implications are hard to ignore. This opens up a multi-billion-dollar channel for enterprise AI, and the early players could gain embedded access across dozens of federal workflows. Historically, GSA has used its scale to hammer down prices from software giants like Adobe and Salesforce. Similar pricing pressure could now apply to LLM vendorsbenefiting adoption, if not margins. Multiple agencies are already outlining use casesfrom fraud detection and grant reviews to policy comment summarization and internal chatbot assistants. The Office of Personnel Management wants to use AI to digest tens of thousands of public responses on regulatory changesa task that once took months. But as OPM Director Scott Kupor put it: We're probably missing people who are super conversant with very modern, AI-related stuff. Translation: software alone won't solve it. Hiring and execution will matter. Still, this latest GSA approval could be a meaningful step toward widespread institutional adoptionand a new chapter in the AI enterprise race. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
