AI news story

Pentagon official overseeing military AI sold millions worth of stock in AI firm

Exclusive: financial disclosures from Emil Michael – who also reaped millions from xAI stock earlier this year – show he sold his Perplexity stock for up to $25m The top Pentagon official overseeing military artificial intelligence policy, w

  • Policy
  • Source: The Guardian AI
  • Published: 2026-09-01
  • Signal score: 5
  • 3 sources

Editor's take

Emil Michael, a senior Pentagon official involved in military AI strategy, divested significant stock holdings in Perplexity AI, realizing up to $25 million. This comes shortly after he also profited from selling shares in Elon Musk's xAI.

The timing and scale of these transactions raise substantial questions about potential conflicts of interest for a key figure shaping the U.S. military's approach to AI development and procurement. Michael's dual role as a policymaker and investor in competing AI firms, including those seeking defense contracts, could undermine public trust and the integrity of the procurement process.

Future scrutiny should focus on the specific timelines of Michael's divestments relative to Pentagon decisions involving Perplexity or similar companies, and whether any independent ethics reviews were conducted. A clear demonstration of rigorous oversight and transparency will be crucial to rebuilding confidence in the impartiality of military AI policy formulation.

Signal score: 5

This event was corroborated by 3 independent sources. The signal score weighs cross-source corroboration, recency, source weight and topic salience. How we rank stories.

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