Google Offers Gemini AI to US Government at Steep Discount, Raising Concerns

Google undercuts rivals with 47¢ AI deal for Uncle Sam

It's now safe to say the gang's all here when it comes to big generative AI model makers signing dollar discount deals with Uncle Sam. Google has joined Anthropic and OpenAI, inking questionable short-term discount terms for government agencies. Not to be outdone by the makers of ChatGPT and Claude, who each agreed to sell their services to the government for $1 per agency, Google has agreed to even deeper discount terms, pitching its various government-capable AI products for just $0.47 per agency, valid through 2026. The half-a-buck Google AI deal is part of the General Services Administration's OneGov purchasing strategy that seeks to streamline the purchasing of products for federal agencies. Agencies looking to add some Google Gemini AI to their operations, for instance, won't need to establish new terms with Google under the $0.47 deal. Instead, they simply agree to terms previously negotiated on behalf of the whole federal government by the GSA. And like the other recent discount AI deals announced by GSA as part of its OneGov contracting initiative, Google's also expires after a year. Agencies that sign up for discounted services today and become dependent on them have no way of knowing what comes after the discount period ends. Google told us that even though it is not sure, with a spokesperson only saying that it would explore options toward the end of the discount period. As we pointed out in another OneGov story, these deals open the possibility of a new generation of vendor lock-in. Any particular brand of AI could quickly become indispensable to an agency's workload before anyone knows what the long-term cost is. That's part of the reason both prior AI OneGov deals with OpenAI and Anthropic have been challenged by AI firm Ask Sage and its founder, former Air Force and Space Force Chief Software Officer Nicolas Chaillan. Ask Sage's bid protests, copies of which have been viewed by The Register, argue that the discounts could lead to vendor lock-in in violation of the government's Federal Acquisition Regulation, as well as violating requirements pertaining to commercial pricing and competition. Ask Sage, we note, provides a vendor-agnostic AI platform for government agencies and is protesting the bid as an interested party. Chaillan told The Register of a number of other concerns he has about the OneGov contracts that we're still looking into, including the fact that the contracts with OpenAI and Anthropic are still private despite his asking as part of the bid protest process. Timely bid protests are grounds to halt an award, but Government Accountability Office dockets for the protest do not indicate whether that criterion has been met with regard to the OpenAI and Anthropic deals. "The $1 deal was already far outside the bounds of what could reasonably sustain secure, enterprise-grade AI for government," Chaillan told us in an emailed statement. "Google's 47-cent offer takes that even further. Pricing this low is not about serving agencies -- it's about forcing dependence on a single vendor, hiding future costs, and squeezing out fair competition. What looks cheap today will leave the government with higher costs, fewer options, and greater risk tomorrow." To add some additional concern to the Google Gemini deal, it won't just come with the typical government-certified AI services, agentic bots, research tools and the like. The GSA took the time to spell out that government agencies were also getting "video and image generation capabilities" as part of the deal, if that's the sort of thing that concerns you. The GSA didn't respond to questions before publication. ®

Google is selling a version of Gemini for government agencies

Google has announced plans to sell a custom version of its Gemini AI models for government agencies. "Gemini for Government" includes access to existing tools like NotebookLM, and "Google-quality enterprise search, video and image generation capabilities." The AI platform is in direct competition with similar offerings from OpenAI, Anthropic and xAI. A big focus of Google's pitch for Gemini for Government is the idea of automating administrative tasks with AI agents. The company touts pre-built Deep Research and Idea Generation agents that will be available to government agencies from the jump, but anyone who invests in the new AI platform will also get the ability to build custom agents of their own. Gemini for Government will also offer threat protection and data privacy features, and will be compliant with cloud security standards like Sec4 and FedRAMP. Google's offering its AI platform for $0.50 per year for government agencies, with the option to pay more for extra security features. The low price is as much an enticement as it is a jab at OpenAI and Anthropic, who both announced $1 government AI deals in the last few months. These attempts to become government AI contractors are happening in the shadow of the AI Action Plan President Donald Trump announced in July. The Trump administration's stated goal is to spur development, turn AI into an American export and remove "idealogical bias" from AI models, but the specifics of the plan are concerningly open to interpretation. Trump's proposal asks federal agencies to withhold "AI-related" funding from states with "burdensome" AI regulations. It also directs the Federal Communications Commission to assume a role in regulating AI, placing even more theoretical power in the executive branch.

Google has an all-new Gemini AI service built specially for the US Government

Google and the US Government have come together to announce the release of Gemini for Government, described as the combination of "commercial cloud, industry-leading Gemini models, and agentic solutions" for maximum productivity. The announcement comes from Google and the General Services Administration (GSA) and forms part of the OneGov Strategy for centralized IT procurement and Trump's AI Action Plan. Gemini for Government will be valid until 2026 and builds on existing Google agreements with the US Government. Gemini for Government will cost $0.47 per agency and follows a Google Workspace deal with savings of 71% for government agencies - all enabled through renewed purchasing power through the GSA's OneGov Strategy. "Building on our Workspace offer for federal employees, 'Gemini for Government' gives federal agencies access to our full stack approach to AI innovation, including tools like NotebookLM and Veo powered by our latest models and our secure cloud infrastructure, so they can deliver on their important missions," Google CEO Sundar Pichai commented. Gemini for Government includes Google-quality enterprise search, video and image generation, NotebookLM AI, Deep Research agents, Idea Generation agents, and support for workers to build their own agents. "We are a long-term, strategic partner for America, deeply invested in the mission, innovation, and security of our government," Google Public Sector CEO Karen Dahut noted, pointing to headline figures like Google's 100,000+ US workers and its data centers and officers across 26 states. With the deal set to last just one year, it's unclear what happens next. The GSA could renew or extend the agreement, or competition could once again open up as the White House looks for cheaper or other advanced AI tools.

Google to provide Gemini AI tools to US government

Google will provide its Gemini artificial intelligence tools to US federal agencies practically free, the government announced Thursday. A suite of AI and cloud computing services called "Gemini for Government" from Google is intended to speed the adoption of the technology across the US government, the General Services Administration (GSA) said in a joint statement. "Gemini for Government gives federal agencies access to our full stack approach to AI innovation," added Google chief executive Sundar Pichai. "So they can deliver on their important missions." AI tools being provided include generation of video, images, or ideas as well as digital "agents" capable of independently tending to complex tasks. US agencies will pay a scant fee of less than a dollar for the AI tools, building on a previous agreement that saw Google Workspace software provided to the government at a major price discount, according to the GSA. "Federal agencies can now significantly transform their operations by using the tools in Gemini for Government," said GSA acting administrator Michael Rigas. The deal comes just weeks after Google rival OpenAI said it was letting the US government use a version of ChatGPT designed for businesses for a year for just $1. "By giving government employees access to powerful, secure AI tools, we can help them solve problems for more people, faster," OpenAI said in a blog post announcing the alliance. Earlier this year, the US Department of Defense awarded OpenAI a $200 million contract to put generative AI to work for the military. OpenAI planned to show how cutting-edge AI can improve administrative operations, such as how service members get health care, and also has cyber defense applications, the startup said in a post.

Google to provide Gemini AI tools to US government

San Francisco (United States) (AFP) - Google will provide its Gemini artificial intelligence tools to US federal agencies practically free, the government announced Thursday. A suite of AI and cloud computing services called "Gemini for Government" from Google is intended to speed the adoption of the technology across the US government, the General Services Administration (GSA) said in a joint statement. "Gemini for Government gives federal agencies access to our full stack approach to AI innovation," added Google chief executive Sundar Pichai. "So they can deliver on their important missions." AI tools being provided include generation of video, images, or ideas as well as digital "agents" capable of independently tending to complex tasks. US agencies will pay a scant fee of less than a dollar for the AI tools, building on a previous agreement that saw Google Workspace software provided to the government at a major price discount, according to the GSA. "Federal agencies can now significantly transform their operations by using the tools in Gemini for Government," said GSA acting administrator Michael Rigas. The deal comes just weeks after Google rival OpenAI said it was letting the US government use a version of ChatGPT designed for businesses for a year for just $1. "By giving government employees access to powerful, secure AI tools, we can help them solve problems for more people, faster," OpenAI said in a blog post announcing the alliance. Earlier this year, the US Department of Defense awarded OpenAI a $200 million contract to put generative AI to work for the military. OpenAI planned to show how cutting-edge AI can improve administrative operations, such as how service members get health care, and also has cyber defense applications, the startup said in a post.

Google to provide Gemini AI tools to federal agencies for 47 cents

Google will provide a suite of artificial intelligence (AI) and cloud services to federal agencies for 47 cents each, the General Services Administration (GSA) announced Thursday. Federal agencies will have access to Gemini for Government at the discounted price through 2026. The announcement follows similar moves by OpenAI and Anthropic to offer their AI products to the government for $1 a year. "Federal agencies can now significantly transform their operations by using the tools in 'Gemini for Government', thanks to this agreement with Google and the Trump Administration's leadership revolutionizing AI for the U.S. government," acting GSA administrator Michael Rigas said in a statement. The agency added Google's Gemini, OpenAI's ChatGPT and Anthropic's Claude to its government purchasing system earlier this month, opening up the AI models for purchase and use by federal agencies. xAI's Grok was also added to the purchasing schedule in July. The push to make these models accessible comes after President Trump unveiled his AI Action Plan last month, calling to accelerate the technology's adoption in the federal government. Google and GSA previously reached an agreement in April to offer the tech giant's Workspace tools to agencies at a 71 percent discount. "Building on our Workspace offer for federal employees, Gemini for Government gives federal agencies access to our full stack approach to AI innovation, including tools like NotebookLM and Veo powered by our latest models and our secure cloud infrastructure, so they can deliver on their important missions," Google CEO Sundar Pichai said in a statement.

Google to offer Gemini to US agencies at $0.50 per agency a year - The Economic Times

Google has launched Gemini for Government, joining OpenAI and Anthropic in offering AI services to US federal agencies at minimal cost. Priced under $0.50 per agency annually, this partnership with the GSA provides access to Google's AI tools like NotebookLM and Veo. This move supports the GSA's OneGov Strategy and the President's AI Action Plan.Tech giant Google has joined OpenAI and Anthropic in the list of artificial intelligence (AI) companies offering their products and services to US federal agencies at a minimal or zero cost. Google chief executive Sundar Pichai confirmed the launch of Gemini for Government on microblogging site X, on Thursday. The partnership with the General Services Administration (GSA) allows the US government to gain access to Google's AI offerings , including NotebookLM and Veo. Priced at less than $0.50 per government agency for a year, Google extended support to the next phase of the GSA's OneGov Strategy and President Trump's AI Action Plan. Earlier this month, OpenAI said it will offer its products and services to US government agencies "at essentially no cost". Before that Anthropic's Claude got listed on the GSA schedule making its products readily accessible to US federal government departments.

Google Joins Anthropic, OpenAI -- Launches 'Gemini for Government' AI At Less Than $0.50 Per Unit - Alphabet (NASDAQ:GOOG), Alphabet (NASDAQ:GOOGL)

Alphabet's Google GOOGL GOOG has announced a significant reduction in the prices of its artificial intelligence (AI) and cloud services for federal agencies. Trump's AI Plan Brings Google Tools To Federal Agencies The General Services Administration (GSA) announced on Thursday that Google would be offering its "Gemini for Government" suite of AI and cloud services to federal agencies at a cost of $0.47 each, reported The Hill. This 71% discount will be available to federal agencies until 2026. Check out the current price of GOOG stock here. 'Gemini for Government' comes with FedRAMP High-certified security and compliance features. Purpose-built for AI, it offers a fully integrated solution anchored on three pillars -- An enterprise platform that provides choice and control, a built-in, advanced security and a trusted partner for true digital transformation. Acting GSA Administrator Michael Rigas stated, "Federal agencies can now significantly transform their operations by using the tools in 'Gemini for Government', thanks to this agreement with Google and the Trump Administration's leadership revolutionizing AI for the U.S. government." These AI models were recently added to the government purchasing system, following GSA's OneGov Strategy and President Trump's AI Action Plan, which aims to accelerate the adoption in the federal government. Tech Giants Slash AI, Cloud Costs for US Government This development follows a trend of tech companies offering discounted services to the federal government. In July, Oracle Corporation ORCL announced a 75% discount on its database software and cloud-computing services for the federal government. Shortly after, Elon Musk's xAI launched 'Grok for Government' following a multi-million-dollar defense contract from the Pentagon. In August, OpenAI and Anthropic also offered their AI models to federal agencies for $1. These initiatives are part of President Trump's AI Action Plan to boost AI adoption in the federal government. Benzinga Edge Stock Rankings shows that Alphabet had a stronger price trend over the long, medium and short term. Check the detailed report here. READ MORE: Oracle Taps Google's Gemini AI Models To Supercharge Cloud Services Image via Shutterstock Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. GOOGAlphabet Inc$202.831.10%Stock Score Locked: Want to See it? Benzinga Rankings give you vital metrics on any stock - anytime. Reveal Full ScoreEdge RankingsMomentum70.98Growth77.69Quality81.51Value51.03Price TrendShortMediumLongOverviewGOOGLAlphabet Inc$201.951.10%ORCLOracle Corp$233.750.25%Market News and Data brought to you by Benzinga APIs

Google Offers Gemini to Government Workers for 47 Cents | PYMNTS.com

By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions. "Gemini for Government" offers enterprise search, image and video generation, and NotebookLM, Google's AI-powered note-taking and research assistant. The program also offers agentic AI, a term used to describe autonomous software agents capable of running tasks with limited supervision. Federal employees can use prebuilt AI agents for research and idea generation or create their own. Google CEO Sundar Pichai said on a post on X that Gemini for Government is "more than a model, it's our complete AI platform with our latest AI tools, including NotebookLM and Veo, powered by our latest models and our secure cloud infrastructure, at virtually no cost." Google's move comes as rival AI providers have launched similar programs aimed at the public sector. Earlier this month, OpenAI rolled out "OpenAI for Government" that makes ChatGPT Enterprise available to federal agencies and their workers for $1 in the first year. The goal is to make government more efficient. The program will also offer educational tools and training. Now Google is further raising the stakes by offering a comprehensive AI platform -- not just a chatbot but a one-stop shop of cloud, AI models and agents -- that also meets FedRAMP High standards for security and compliance, Google Public Sector CEO Karen Dahut wrote in a blog post. This competitive spirit is already seen in the private sector, where tech companies are among the biggest cheerleaders and users of agentic AI and other advanced technologies, according to an August PYMNTS Intelligence report. Now they are jostling for public sector adoption: Google, OpenAI and Anthropic have positioned their programs as supporting the president's America's AI Action Plan. These offers are the latest in a long line of products and services tech companies have long tried to sell to the government. Google said Gemini for Government complements its existing Google Workspace for government program, which encompasses its productivity suite of Gmail, Drive, Docs, Meet and other apps. Google charges the government a discounted fee for its use. (Google Workspace is a separate agreement than Gemini for Government.)

Google to provide Gemini AI tools to U.S. government

Google will provide its Gemini artificial intelligence tools to U.S. federal agencies practically free, the government announced Thursday. A suite of AI and cloud computing services called "Gemini for Government" from Google is intended to speed the adoption of the technology across the U.S. government, the General Services Administration (GSA) said in a joint statement. "Gemini for Government gives federal agencies access to our full stack approach to AI innovation," added Google chief executive Sundar Pichai. "So they can deliver on their important missions." AI tools being provided include generation of video, images, or ideas as well as digital "agents" capable of independently tending to complex tasks. U.S. agencies will pay a scant fee of less than a dollar for the AI tools, building on a previous agreement that saw Google Workspace software provided to the government at a major price discount, according to the GSA. "Federal agencies can now significantly transform their operations by using the tools in Gemini for Government," said GSA acting administrator Michael Rigas. The deal comes just weeks after Google rival OpenAI said it was letting the U.S. government use a version of ChatGPT designed for businesses for a year for just $1. "By giving government employees access to powerful, secure AI tools, we can help them solve problems for more people, faster," OpenAI said in a blog post announcing the alliance. Earlier this year, the U.S. Department of Defense awarded OpenAI a US$200 million contract to put generative AI to work for the military. OpenAI planned to show how cutting-edge AI can improve administrative operations, such as how service members get health care, and also has cyber defense applications, the startup said in a post.