OpenAI secures $200 million US defense contract

OpenAI has secured a $200 million contract with the U.S. Defense Department to provide AI tools over the next year. This follows a prior collaboration with Anduril, a defense tech startup. The Defense Department noted that OpenAI will develop AI capabilities for critical national security challenges.

The OpenAI-Anduril partnership will focus on developing and deploying counter-unmanned aircraft systems; AI drones.

Sam Altman, OpenAI's CEO, has expressed commitment to engaging in national security work. The contract, specified for OpenAI Public Sector LLC, will mainly take place in the National Capital Region. OpenAI's annual revenue exceeds $10 billion, with a recent $40 billion funding round at a $300 billion valuation.