OpenAI, the company behind ChatGPT, has landed a $200 million contract with the US Department of Defense to develop cutting-edge artificial intelligence tools aimed at tackling key national security and military challenges.
The Pentagon confirmed on Monday that the agreement involves building prototype AI capabilities for both combat and administrative uses. Most of the work will take place in the National Capital Region, including Washington, DC, and nearby states.
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OpenAI’s rapid rise continues, with the company now boasting a $10 billion annual revenue run rate and a user base of 500 million weekly active users. This new deal marks the first under a federal program focused on deploying AI in government operations.
According to OpenAI, the collaboration could improve healthcare access for military families, analyze critical procurement data, and boost cybersecurity efforts. The company stressed that all use of its technology will follow strict ethical standards and usage policies.
This announcement follows OpenAI CEO Sam Altman’s appearance alongside former President Donald Trump earlier this year to introduce the $500 billion Stargate initiative to expand America’s AI infrastructure.
