Privacy Advocates Worry as Elon Musk’s Grok Expands Inside the U.S. Government

Elon Musk’s Department of Government Efficiency (DOGE) is expanding the use of his AI chatbot, Grok, inside the U.S. federal government in order to help analyze data, according to a Reuters report that cited multiple sources. Indeed, a customized version of Grok is being used by DOGE staff to ask questions, generate reports, and perform data analysis. However, this move has some privacy advocates worried that long-standing rules for protecting sensitive government data may be ignored, especially as President Trump continues to reshape federal operations.

Unsurprisingly, one person familiar with the situation said that the goal of using Grok is to make it easier and faster for DOGE to go through large amounts of government data. However, it is unclear exactly what kind of data Grok is handling or how the system is configured. In addition, two other sources said that DOGE staff told officials at the Department of Homeland Security to use Grok, even though it has not been officially approved by that department.

It is worth noting that Grok was developed by Musk’s AI company, xAI, which he launched in 2023 on his platform, X. As a result, some experts say that this could give Musk access to valuable, nonpublic information about federal contracts at agencies where his companies, like Tesla (TSLA) and SpaceX, already do business. There are also worries that Grok could be trained using sensitive government data, which might give Musk an unfair advantage over other AI companies competing for federal contracts.

What Is the Prediction for Tesla Stock?

When it comes to Elon Musk’s companies, most of them are privately held. However, retail investors can invest in his most popular company, Tesla. Turning to Wall Street, analysts have a Hold consensus rating on TSLA stock based on 16 Buys, 10 Holds, and 11 Sells assigned in the past three months, as indicated by the graphic below. Furthermore, the average TSLA price target of $282.61 per share implies 16.4% downside risk.

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