News Summary

OpenAI has been awarded a substantial contract by the U.S. Department of Defense worth up to $200 million. This contract aims to develop prototype AI systems for various administrative tasks and national security challenges. The contract signifies a strained relationship with Microsoft, a major investor in OpenAI, as the DoD has also approved Microsoft’s Azure OpenAI Service. This deal is part of OpenAI’s new “OpenAI for Government” program, expanding its collaborations with several U.S. government agencies.