According to PandoraTech News, White House Press Secretary Karoline Leavitt stated at a briefing on July 24 that she believes US President Trump "does not support" a federal agency signing a contract with xAI, Elon Musk's artificial intelligence company. She also stated that she would discuss the issue further with the president, a significant statement.

xAI signs $200 million contract with Department of Defense

Less than a week ago, xAI, founded by Elon Musk, announced that it, along with three other technology companies, had been awarded a $200 million contract from the US Department of Defense for artificial intelligence. The program aims to upgrade the AI infrastructure of defense systems, with xAI primarily contributing its large-scale language model technology and algorithmic architecture.

This contract was originally seen as a major breakthrough in Musk's "national security technology map", but now it faces potential risks due to political turmoil.

Musk and Trump publicly feud

Since Musk officially resigned as special adviser to the US government at the end of May, his relationship with the Trump campaign has deteriorated rapidly. Trump has repeatedly criticized Musk in public as "ungrateful" and wrote on Truth Social: "We don't need someone who gets handed federal contracts and then bites back."

Trump threatens to cancel the contract

Even more controversial is that Trump has publicly threatened to "consider canceling" the federal government's contract with Musk's company in response to his "betrayal." Although no executive order has yet been implemented, the statement has already attracted widespread attention in the technology and national security circles.

The White House’s statement may be a prelude to the Trump administration officially “launching administrative pressure” on Musk, especially since the contracts involving xAI belong to the highly sensitive defense field.

✍️ PandoraTech’s opinion:

Musk and Trump's shift from "allies" to "opponents" represents the fragile and complex relationship between American technology giants and political power.

If Trump truly uses his presidential powers to suppress xAI, it will have a significant impact on AI defense projects and could reshape expectations of the stability of Musk-affiliated companies within the political and business landscape. This incident also highlights the increasing integration of AI technology into national security, and how political maneuvering may become a key variable in future corporate development.

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