OpenAI Granted $200 Million Contract To Help US Military Boost AI Defence

OpenAI, the company behind ChatGPT, has landed a huge $200 million contract with the U.S Department of Defence.

The deal is not only a huge step for the company, but is also a sign of how important AI is becoming in countries’ military strategies.

The one-year contract will involve OpenAI developing new products that help to improve US national security. This not only encompasses actual war-fighting, but also helps to protect the country from enemy cyberattacks.

 

Battlefield Tech Grows

 

But OpenAI’s new contract isn’t unique. Across Silicon Valley, a number of companies are locking in partnerships with defence agencies.

In fact, OpenAI announced a partnership with Anduril Industries last year, where it pledged to help develop AI for drone defence systems.

And it’s no surprise that under his ‘America First’ philosophy, President Trump is looking at US companies to help the country secure its digital battlefield.

But why now?

 

The US As An AI Superpower

 

The United States has long been a leader in AI innovation, especially as companies like OpenAI, Microsoft and Nvidia are based there.

But now, The US is facing serious competition.

Countries like China and Russia are investing billions of dollars in building complex AI ecosystems. Whilst some of this is designed to be used by the population, it’s also set to be deployed on the battlefield.

Because of this, the AI arms race is on.

 

 

The AI Arms Race

 

This deal comes at a time of high global geopolitical tension, where governments all over the world aren’t just investing in military technology, but cybertechnology too.

Countries all over the world are competing to develop and deploy new AI technologies that give them an advantage, particularly when it comes to digital warfare.

In fact, just last month, the UK announced a £1 billion investment in AI, designed to supercharge their ability to engage in digital combat.

But when it comes to the ‘AI arms race’ The US and China are currently seen as the countries investing most heavily in these areas, with other countries like Russia quickly catching up.

Many have also noted that in the recent Ukraine War, soldiers are relying on AI and tech to hit enemy targets more effectively. Because of this, countries are racing to innovate quickly and make sure that they aren’t being left behind.

 

OpenAI For Government

 

But the deal with The Pentagon isn’t just about defence, it also about using AI to boost the US public sector as a whole.

As OpenAI already partners with US agencies like NASA, the NIH, the Treasury, and the national labs, this new contract simply brings it all under one umbrella.

Through this, aside from helping boost national security, OpenAI says that the contract will help public servants cut down on admin tasks, modernise systems and help to deliver better services.

Already, pilot programmes have been effective, showing just how much time workers are able to save on routine tasks using ChatGPT.

Through their OpenAI for government partnership, the company isn’t just positioning itself as a defence tool, but a partner in how the government works as a whole.

 

OpenAI Rises To The Top

 

For OpenAI, The Pentagon deal is another notch in its very impressive belt.

The company recently announced it has hit $10 billion in annual recurring revenue within just 3 years of launching ChatGPT.

Not only that, but it also closed on a $40 billion funding round- the most ever raised by a private tech company.

So what does this show? Well, AI is no longer just about chatbots and improving productivity, it’s a real tool that is going to be used on battlefields for many years to come.