TLDR
- US government signs deal with OpenAI to provide ChatGPT Enterprise to all federal agencies for $1 per agency
- The partnership supports Trump administration’s AI Action Plan to make the US the world’s AI capital
- Government agencies will get access to ChatGPT Enterprise and Advanced Voice Mode for 60 days
- OpenAI previously secured a $200 million contract with the Department of Defense in June
- Critics raise concerns about privacy, cybersecurity, and data protection in government AI use
The Trump administration has announced a partnership with OpenAI to provide ChatGPT Enterprise to all US federal agencies. The deal costs just $1 per agency and aims to modernize government operations through artificial intelligence integration.
The US General Services Administration announced the agreement on Wednesday. The GSA handles government procurement and said the partnership directly supports the White House’s AI Action Plan.
Government AI Integration Push
The AI Action Plan represents a three-pillar strategy to establish US leadership in artificial intelligence development. President Trump’s administration views this as essential for maintaining America’s technological edge globally.
Under the agreement, participating agencies will receive access to OpenAI’s frontier models through ChatGPT Enterprise. They will also get Advanced Voice Mode access for an additional 60-day period.
OpenAI described the initiative as helping government work better by making services faster, easier, and more reliable. The company partnered with the GSA to launch this program across the federal executive branch workforce.
This partnership follows OpenAI’s previous government engagement. In June, the company launched OpenAI for Government and secured a contract worth up to $200 million with the US Department of Defense.
Security Concerns Over Government AI Use
The expansion of AI in government operations has raised cybersecurity and privacy concerns. In 2023, the US Space Force paused its use of generative AI tools, including ChatGPT, due to security worries about sensitive national security data.
Lisa Costa, Space Force’s deputy chief of space operations for technology and innovation, said AI service providers need to improve their data protection standards. This must happen before military organizations can widely adopt these tools.
Large language models collect vast amounts of user data from internet sources and conversations. This data helps train the AI systems but creates potential security vulnerabilities.
OpenAI CEO Sam Altman recently warned that ChatGPT conversations could be used as evidence in court cases. He explained that AI conversations lack privacy protections and remain subject to government search and seizure laws.
The cybersecurity risks stem from information storage on centralized servers. These concerns have been raised by users, technology executives, and civil liberties activists.
International examples have also sparked debate about AI in government decision-making. Sweden’s Prime Minister Ulf Kristersson faced criticism after acknowledging he consulted AI for policy decisions, though his spokesperson clarified that classified matters were not discussed.
The deal comes as OpenAI engages in talks with investors about a potential stock sale. The company is reportedly seeking a valuation of roughly $500 billion, following a $40 billion funding round in March at a $300 billion valuation.
OpenAI plans to open its first Washington DC office early next year as part of its efforts to deepen ties with lawmakers and regulators.