AI Shake-Up: Pentagon’s $200M Contracts, Meta’s Mega Investment, and an Open-Source AI Outsmarting GPT-4
The U.S. Department of Defense awarded up to $200 million in contracts to OpenAI, Google, Anthropic, and xAI to develop agentic AI systems for national security. Elon Musk’s xAI will adapt its Grok chatbot for government use under the deal. President Trump announced a $70 billion AI and energy investment plan to be detailed July 14. Meta plans to spend hundreds of billions on new AI data centers and has formed a Superintelligence Labs division.