OpenAI receives major contract from the U.S. Department of Defense

The US Department of Defense has awarded OpenAI a significant contract worth up to $200 million. The aim of the contract is to develop prototype systems based on OpenAI's advanced models to fulfill administrative tasks. Examples of possible areas of application include supporting soldiers in healthcare, optimizing data programs, and strengthening proactive cyber defense. All applications are intended to align with OpenAI's usage policies. While the Department of Defense's contract envisions the development of AI prototypes for security-related challenges in both warfare and corporate environments, it remains unclear whether this includes direct weapons use. After all, OpenAI prohibits individuals from using ChatGPT for the development or deployment of weapons. However, since January 2024, the terms of use no longer clearly state 'military and war.' In the context of geopolitical tensions, particularly the competition between Western and Chinese AI models, the use of OpenAI in the national security strategy is not surprising. Marc Andreessen recently described China and the Western world in a podcast as participants in a 'cold war' of AI development. It is also interesting that this development highlights the strained relationship between OpenAI and Microsoft, one of its largest investors. Microsoft has long had numerous government contracts, including those with the Department of Defense, that involve the high-security protocols of its cloud. OpenAI, on the other hand, presents this new agreement as part of its "OpenAI for Government" program, which directly supplies various government agencies. From Microsoft's perspective, the contract might be perceived as a setback, as the Department of Defense now seems to lean towards direct collaboration with OpenAI in addition.