OpenAI secures AWS partnership to sell AI models across US government agencies

OpenAI expands government footprint with AWS deal, report says | TechCrunch

OpenAI signed a deal to work with Amazon Web Services (AWS) to sell its AI products to the U.S. government for classified and unclassified work, according to The Information. The partnership comes after OpenAI signed a deal with the Pentagon to allow the military to use its AI models in its classified network -- a win that came in the midst of conflict between Anthropic and the Defense Department. Anthropic has since been named a supply chain risk by the DOD after it refused to back down on allowing its tech to be used for mass surveillance of Americans and to power fully autonomous weapons. Anthropic has sued the Pentagon in response. OpenAI's AWS deal sees the AI giant stepping onto Anthropic's home turf. Amazon has invested at least $4 billion in Anthropic, and as such, Anthropic uses AWS as its main cloud provider. Claude models are integrated into Amazon Bedrock, AWS's AI platform for enterprise and government customers, and Claude is one of the most deeply integrated frontier models in AWS GovCloud for public sector use. The tie-up also expands OpenAI's federal footprint well beyond its Pentagon deal, positioning the company to serve multiple government agencies through AWS's existing cloud infrastructure. AWS, a major cloud provider to U.S. agencies, has agreed to distribute OpenAI products across its public-sector customer base, The Information reported, citing sources familiar. The deal could unlock more enterprise contracts, since companies often see government contracts as a stamp of trust and reliability. OpenAI and Amazon Web Services did not immediately respond to TechCrunch's requests for comment.

OpenAI to sell AI to US agencies through Amazon cloud unit, the Information reports

March 17 (Reuters) - OpenAI has signed a new deal to sell access to its AI model to U.S. defense and government agencies through Amazon's (AMZN.O), opens new tab cloud unit for classified and unclassified work, the ⁠Information reported on Tuesday. The contract enables OpenAI to support the Pentagon under a deal it secured late last month, after the agency dropped its previous AI provider, Anthropic, the report said. OpenAI and Amazon did ⁠not immediately respond to Reuters' requests for comment. Claude maker Anthropic's relationship with the U.S. government collapsed in February ⁠after the firm refused to allow unrestricted military use of its AI, particularly ⁠for domestic surveillance and autonomous weapons, following which the Pentagon ⁠labelled it a "supply chain risk". Reporting by Akash Sriram in Bengaluru; Editing by Anil D'Silva and Shinjini Ganguli Our Standards: The Thomson Reuters Trust Principles., opens new tab

OpenAI and AWS partner to sell AI to US government

OpenAI has finalized a partnership with Amazon Web Services (AWS) to provide its artificial intelligence products to the U.S. government for both classified and unclassified applications, according to The Information. This agreement builds on a prior deal between OpenAI and the Pentagon, which allows military use of OpenAI's AI models within its classified networks. This deal significantly broadens OpenAI's presence in the federal market, enabling it to support multiple government agencies through AWS's established cloud infrastructure. AWS is recognized as a key provider for U.S. agencies and will distribute OpenAI products across its public-sector customer base. This strategic alliance positions OpenAI as a competitor to Anthropic, which has been designated a supply chain risk by the Department of Defense (DOD) after its refusal to allow its technology for mass surveillance and fully autonomous weaponry. Anthropic has since initiated legal action against the DOD over this designation. OpenAI's entry into this space may facilitate a surge in enterprise contracts. Government relationships are often perceived as endorsements of credibility and reliability, which could attract further commercial opportunities. Anthropic, which relies on AWS as its primary cloud provider due to Amazon's investment of at least $4 billion in the company, also features its Claude models integrated into AWS's AI platform, Amazon Bedrock, used for enterprise and government purposes.

OpenAI to sell AI to US agencies through Amazon cloud unit: Report

OpenAI has signed a new deal to sell access to its AI model to US defense ⁠and government agencies through Amazon's cloud unit for classified and unclassified work, the Information reported on Tuesday. The contract enables OpenAI to support the Pentagon ⁠under a deal it secured late last month, after the ⁠agency dropped its previous AI provider, Anthropic, the report said. OpenAI and Amazon did not immediately respond to Reuters' requests for comment. Claude maker Anthropic's relationship with the US government collapsed in February after the firm refused to allow unrestricted ⁠military use of its AI, particularly for domestic surveillance and autonomous weapons, following which the Pentagon labelled it a "supply chain risk".

OpenAI Teams With AWS to Strengthen Government Partnerships | PYMNTS.com

The agreement, signed last week, covers both classified and non-classified work, The Information reported Tuesday (March 17), citing two sources with direct knowledge of the agreement between the companies. The report added that this contract lets OpenAI support the Pentagon via a deal reached last month amid the military's clash with rival AI firm Anthropic. Amazon Web Services (AWS) is already a large cloud provider to several government agencies, and has agreed to sell OpenAI products to other U.S. government customers, sources said. PYMNTS has contacted both AWS and OpenAI for comment but has not yet received a reply. According to the report, signing a government contract could help OpenAI land larger corporate clients, as these companies often view high-profile government work as an indication that a tech provider is trustworthy. The Information added that using government partnerships as a jumping off point for corporate contracts is important because the government work may not be worth as much by themselves. For example, one source said OpenAI's deal with the Pentagon will likely generate just millions of dollars in revenue over 15 months, versus the $30 billion in revenue the startup has projected it will bring in this year. The news comes as OpenAI is reportedly reworking its strategy, setting aside various side projects to focus on business and coding customers. In other news, PYMNTS wrote last week about OpenAI and its contemporaries "adding oversight directly into the platforms used for AI agent development and deployment." In the case of OpenAI, that meant the company's recent acquisition of Promptfoo, a startup that helps companies find vulnerabilities in AI systems during development. The plan is to integrate Promptfoo's tech into OpenAI Frontier, the company's enterprise platform for building and running AI agents. Tools like Promptfoo simulate those prompt injection attacks, which occur when someone creates a prompt aimed at manipulating an AI system's instructions. Sometimes attackers will trick an AI system into sharing confidential information or bypassing safety controls. By simulating those attacks during development, companies can spot problems before releasing a system, the report said. OpenAI has also been expanding its security toolkit for developers, earlier this month debuting a preview of Codex Security, letting developers analyze how AI systems behave in development. "This approach moves security testing earlier in the development process. Instead of discovering problems after deploying an AI system, companies can identify and fix them during the build process," PYMNTS wrote.

OpenAI lands AWS partnership to sell AI tools across US government - report By Investing.com

Investing.com -- OpenAI signed a contract with Amazon Web Services to sell its artificial intelligence products to U.S. government employees for both classified and unclassified work, The Information reported on Tuesday, citing two people with direct knowledge of the agreement. Amazon.com Inc (NASDAQ:AMZN) shares rose nearly 1% in pre-market trading on Tuesday amid the news. The AWS partnership significantly expands OpenAI's federal footprint beyond its Pentagon deal won late last month, positioning the company to serve multiple government agencies through AWS's existing cloud infrastructure. AWS already provides cloud services to numerous U.S. agencies and has agreed to sell OpenAI products across its government customer base, the sources said. Strategic Play Following Pentagon Turmoil The timing proves critical for OpenAI as it fills the vacuum left by Anthropic, which the Pentagon designated a supply chain risk in late February after the AI company refused to grant unrestricted access to its systems. Anthropic had demanded assurances against use for mass surveillance of Americans or autonomous weapons -- restrictions that led the Defense Department to abruptly end the relationship. OpenAI quickly secured the Pentagon contract to supply 3 million Defense Department employees with ChatGPT and custom AI products, though the deal is expected to generate just millions of dollars over 15 months -- a fraction of OpenAI's projected $30 billion in total revenue for 2026, according to one source cited by The Information. The Palantir Playbook The real value lies in replicating Palantir Technologies' (NYSE:PLTR) successful strategy of converting government credibility into corporate contracts. Palantir generated approximately $2 billion from private-sector customers in 2025 after establishing its reputation through defense and intelligence work. The company's U.S. commercial business is expected to grow at least 115% in 2026 to more than $3.14 billion, demonstrating the government-to-corporate pipeline's potential. "Landing government contracts could help OpenAI win large corporate customers, which often regard high-profile government work as a sign that a tech provider can be trusted," industry observers note. Meanwhile, Anthropic has sued the Pentagon over its designation, with major tech industry groups -- including those representing Google (NASDAQ:GOOGL), Microsoft (NASDAQ:MSFT), Meta, and Nvidia -- filing an amicus brief calling for a pause. "The government has ample, well-established tools to resolve procurement disputes... What they can't do is misuse extraordinary national security authorities designed for foreign adversary sabotage," the brief stated. What to Watch Investors should monitor OpenAI's ability to convert federal contracts into commercial wins over the next 12-18 months, particularly whether government credentials help close enterprise deals. The outcome of Anthropic's Pentagon lawsuit could reshape AI procurement rules across federal agencies. A Trump directive requiring agencies to phase out Anthropic's Claude within six months -- due approximately September 2026 -- creates additional contract opportunities for OpenAI and competitors including xAI, which also secured Pentagon access to classified networks.