The Pentagon wants smarter tools, so it called ChatGPT's creator
A $200M deal just brought OpenAI and the Department of Defense together.
AI in the public sector isn't exactly breaking news anymore – earlier this year, OpenAI launched a special version of ChatGPT made just for US government agencies.
And now, the company's doubling down on that push with something even bigger: a new initiative called OpenAI for Government, which just landed it a major contract with none other than the Pentagon.
Yep, OpenAI is officially working with the Department of Defense. The DoD just announced a $200 million contract with the company to develop cutting-edge AI tools, including ones aimed at proactive cyber defense.
It is the first-ever deal between OpenAI and the DoD and it will run for a year, focusing mostly on operations in and around Washington, D.C., Maryland, and Virginia.
As part of this initiative, OpenAI will offer federal, state and local agencies access to tools like ChatGPT Enterprise and ChatGPT Gov, plus limited access to custom AI models built for national security use cases.
The DoD says the goal here is to develop prototype AI capabilities to address major national security challenges, both on the battlefield and across broader operational systems.
That last part is key. OpenAI made it clear that any government use of its models still has to follow its strict policies – meaning no weapon development or any use intended to harm people or destroy property. And let's hope that is indeed the case.
Actually, OpenAI isn't the only one getting involved with military AI. Rival company Anthropic just revealed a model with more relaxed guardrails designed specifically for US defense and intel agencies. Even Meta (yep, Mark Zuckerberg's crew) jumped in last year, allowing the government to use its Llama AI model for national security purposes.
And with Trump's One Big Beautiful Bill set to remove most restrictions on AI development over the next decade, the pace of innovation could speed up fast – maybe too fast. And honestly, that's a bit concerning. When the brakes come off, the rules often shift, too and in the world of powerful AI tools tied to national security, that's something to keep a very close eye on.
And now, the company's doubling down on that push with something even bigger: a new initiative called OpenAI for Government, which just landed it a major contract with none other than the Pentagon.
It is the first-ever deal between OpenAI and the DoD and it will run for a year, focusing mostly on operations in and around Washington, D.C., Maryland, and Virginia.
As part of this initiative, OpenAI will offer federal, state and local agencies access to tools like ChatGPT Enterprise and ChatGPT Gov, plus limited access to custom AI models built for national security use cases.
The DoD says the goal here is to develop prototype AI capabilities to address major national security challenges, both on the battlefield and across broader operational systems.
This contract, with a $200 million ceiling, will bring OpenAI's industry-leading expertise to help the Defense Department identify and prototype how frontier AI can transform its administrative operations, from improving how service members and their families get health care, to streamlining how they look at program and acquisition data, to supporting proactive cyber defense. All use cases must be consistent with OpenAI's usage policies and guidelines.
– OpenAI, June 16, 2025
Actually, OpenAI isn't the only one getting involved with military AI. Rival company Anthropic just revealed a model with more relaxed guardrails designed specifically for US defense and intel agencies. Even Meta (yep, Mark Zuckerberg's crew) jumped in last year, allowing the government to use its Llama AI model for national security purposes.
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