The U.S. Department of Defense has awarded OpenAI a $200 million contract to develop generative artificial intelligence systems for military use, marking a significant step in the integration of advanced AI into national defense operations.
According to an official announcement released Monday, the San Francisco-based company will create prototype AI tools aimed at tackling critical national security needs across both combat and administrative sectors.
This contract represents OpenAI’s first government-focused project under its new initiative to support public sector applications of AI. The company said it plans to demonstrate how its advanced technologies can streamline military operations — from improving service members’ access to healthcare to enhancing cybersecurity infrastructure.
OpenAI emphasized that any military use of its technology would remain within its established usage policies.
Major tech firms — including Meta, OpenAI, and defense-focused Palantir — have increasingly pursued defense contracts, as the Pentagon seeks to modernize its capabilities using AI.
Last year, OpenAI also announced a collaboration with defense startup Anduril Industries to build AI systems for national security applications. Their joint efforts focus on boosting countermeasures against drones and other unmanned aircraft threats by combining OpenAI’s models with Anduril’s battlefield technologies.
OpenAI CEO Sam Altman has previously stated that the company supports U.S.-led initiatives to ensure AI remains aligned with democratic principles and is used for the broader good.
