OpenAI to Supply AI Solutions to US Military in $200 Million Deal

OpenAI has secured a significant defense contract valued at $200 million with the U.S. Department of Defense. The agreement will span one year, with the goal of developing and testing cutting-edge artificial intelligence tools for national security. The contract represents OpenAI’s first major venture into the military sector. The partnership is part of OpenAI’s ‘OpenAI for Government’ program, designed to offer U.S. federal agencies access to bespoke AI models, including ChatGPT, within secure and regulated environments. The focus will be on creating “prototype frontier AI capabilities” that can address problems in the military and administrative arenas, such as cyber defense, data analysis, and healthcare systems for personnel. The majority of the project will be based in the National Capital Region, with an anticipated completion date of July 2026. Initial funding of $1.99 million has already been disbursed from the fiscal year 2025 research and development budget. OpenAI CEO Sam Altman has highlighted the company’s commitment to national security. The project builds upon earlier initiatives where OpenAI’s models have been employed for scientific research and national security tasks. OpenAI is now among a group of AI firms collaborating with the Pentagon.