Openai is poised to undercut humanity and rivals like Google to see AI tools integrated into federal agency workflows.
The AI giant has reached an agreement with the government’s central purchasing arm, the US General Services Agency (GSA), and has signed a deal to provide ChatGpt companies to federal agencies participating for just $1 per agent next year.
The partnership is the day after GSA added Openai, Google and Humanity, and the day after it was added to the list of approved AI vendors that can serve private federal agencies. Companies will see tools offered through Multiple Award Schedule (MAS), a federal contract platform that allows government agencies to access AI tools via pre-negotiated contracts.
It is not clear whether other AI companies will be offering services at such discount rates, but GSA Federal Acquisition Services Commissioner Josh Gruenbaum said, “We are encouraging other American AI technology companies to chase Openai’s lead and work with us.”
TechCrunch has contacted Anthropic and Google for more information.
In addition to accessing ChatGpt Enterprise, Openai has unlimited use of advanced models for an additional 60 days. Federal employees will also have tailored implementation training resources to access the new government’s user community and become familiar with OpenAI tools.
Data security is a top priority for government agencies that are concerned about sensitive information leaked into model training sets. TechCrunch asked the GSA for details on how government data is protected, including whether measures such as on-premises and private cloud deployments are being used to enhance security.
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“The government is taking a cautious, security-first approach to AI,” a GSA spokesperson told TechCrunch. “This will allow agencies to benefit from AI-driven efficiency while still keeping sensitive information protected.”
The Openai discount comes weeks after the Trump administration released an AI action plan that seeks to increase data center build-outs and integrate more AI tools into the government. It also follows Trump’s executive order banning AI models, saying that he has “wakes up” from government contracts that are not “ideologically neutral.”
TechCrunch contacted Openai to learn more about the GSA partnership and how to approach Trump’s executive order.
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