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Google has agreed to provide the U.S. Department of Defense with access to its AI models on classified networks, allowing a broad range of lawful uses. The move comes after Anthropic rejected a similar request, citing concerns over mass surveillance and autonomous weapons. Google Grants DoD Classified AI Access Amid Anthropic Standoff Deal announced 2026-04-28 via multiple reports. Google’s contract mirrors language used with OpenAI and xAI, stating the AI is not intended for domestic mass surveillance or autonomous weapons. Anthropic was labeled a “supply‑chain risk” after refusing unrestricted use. Employee Pushback and Legal Battle Numbers 950 Google employees signed an open letter urging the company to follow Anthropic’s guardrails. A federal judge granted Anthropic an injunction against the “supply‑chain risk” designation. OpenAI and xAI have already signed similar DoD agreements. Shifting Landscape of Defense AI Partnerships The Pentagon’s push for unrestricted AI use is prompting a split among leading AI firms. While Google, OpenAI, and xAI are moving forward, Anthropic’s stance highlights growing ethical concerns about military applications of generative AI. What This Means for Future AI‑Defense Deals Analysts expect more defense contracts to include explicit guardrail clauses, but enforcement remains uncertain. Companies may face internal pressure from staff and external scrutiny, potentially shaping the next wave of AI‑government collaborations.

Emil Michael, the Pentagon's under secretary for research and engineering, declared a position in xAI valued between $500,000 and $1 million in March 2025. He sold these holdings on January 9 for between $5 million and $25 million, according to government ethics records. The value of his stake increased by 400% to 4,800% during the period he owned it. xAI, which is behind Musk's Grok chatbot, is not publicly traded, making it unclear how Michael obtained his position, how it was priced, or to whom he sold it. During Michael's ownership, the Pentagon announced two separate agreements with xAI. In July 2025, the Pentagon chose Grok as one of four commercial providers to help the department utilize artificial intelligence. On December 22, the defense department announced a new agreement with xAI, paving the way for the deployment of its advanced capabilities. Richard Painter, a former ethics lawyer at the White House, said that in general, it was a criminal violation for government officials to participate in actions that benefit their own financial interests. "It sounds pretty weird," he said of the transactions. The Pentagon stated that Michael was "in full compliance with all ethics laws and regulations. Any claims otherwise are false."