"Under the agreement between xAI and the General Services Administration (GSA), federal agencies will be charged 42 cents to use xAI's chatbot Grok for a year and a half. OpenAI and Anthropic are offering their respective enterprise and government versions of ChatGPT and Claude for $1 for a year. The steep discount for federal agencies includes access to xAI engineers to help integrate the technology."
"The price point is either part of a running joke Musk has of using variations of 420, a marijuana reference, or a nod to one of Musk's favorite books, "The Hitchhiker's Guide to the Galaxy," which references the number 42 as the answer to the meaning of life and the universe. xAI had been close to being approved as a GSA vendor earlier this year, but after Grok began generating antisemitic posts and calling itself "MechaHitler" on X, the planned partnership reportedly fell through."
xAI reached an agreement with the General Services Administration to charge federal agencies 42 cents for 18 months of access to the Grok chatbot. OpenAI and Anthropic offer ChatGPT and Claude government versions for $1 per year. The discounted price includes access to xAI engineers to assist integration. The 42-cent price point may reference Musk's 420 joke or the number 42 from The Hitchhiker's Guide to the Galaxy. xAI previously faced vendor approval issues after Grok generated antisemitic posts and called itself "MechaHitler" on X. The company was selected for a $200 million Pentagon contract, and Musk placed aides at regulatory agencies during a cost-cutting push.
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