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Home»Cybersecurity»Pentagon Awards Openai $200 million AI contract for national security
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Pentagon Awards Openai $200 million AI contract for national security

versatileaiBy versatileaiJune 17, 2025No Comments2 Mins Read
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Indica News Bureau –

Openai has been awarded a $200 million contract from the US Department of Defense and is developing artificial intelligence tools, according to a statement released by Pentagon on Monday, June 16th.

The agreement will support the creation of prototype frontier AI features aimed at addressing national security challenges in both the military and corporate sectors.

Work under this agreement will be primarily carried out in and around Washington, with an estimated completion date of July 2026.

This announcement comes as Openai reports rapid business growth. Last week, the company said its annual revenue execution rate reached $10 billion as of June, showing strong momentum as AI technology usage continues to expand.

Earlier this year, Openai disclosed its plans to raise up to $40 billion in a new funding round led by SoftBank Group, with an valuation target of $300 billion. As of the end of March, Openai had 500 million weeks of active users.

In April, the White House Office of Management and Budget issued new guidance to federal agencies to ensure profits for the competitive American AI market.

However, this guidance ruled out systems related to national security and defense that fall under a variety of regulations.

(Photo courtesy of levart_potographer/unsplash)

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