OpenAI Offers ChatGPT Enterprise at $1 per Year to Federal Agencies, Leading AI Race with Discounted Rates
OpenAI secures an advantageous position in the competition to integrate its AI technologies into federal agency workflows, surpassing rivals such as Anthropic and Google.
In a significant move, OpenAI has struck a deal with the United States General Services Administration (GSA), the government’s central procurement entity, to provide ChatGPT Enterprise at an affordable price of $1 per federal agency for the upcoming year.
This partnership follows swiftly after the GSA included OpenAI, Google, and Anthropic among approved AI vendors eligible to offer their services to civilian federal agencies. These companies will make their tools available through the Multiple Award Schedule (MAS), a federal contracting platform that allows government agencies to access AI technologies via pre-negotiated contracts, thereby bypassing individual vendor negotiations.
As of yet, it remains unclear whether other AI firms will offer their services at such competitive rates. However, GSA Federal Acquisition Service Commissioner Josh Gruenbaum has encouraged “other American AI technology companies to follow OpenAI’s lead and collaborate with us.”
In addition to access to ChatGPT Enterprise, OpenAI is offering unlimited usage of advanced models for an extended 60-day period. Federal employees will also gain entry to a new government user community and receive tailored training resources to familiarize themselves with OpenAI’s tools.
“The government is adopting a cautious, security-focused approach to AI,” a GSA spokesperson said “ensuring that sensitive information remains secure while enabling agencies to reap the benefits of AI-driven efficiencies.”
OpenAI’s competitive pricing comes shortly after the publication of the Trump administration’s AI Action Plan, which aims to promote data center expansion and increase AI tool integration within government. This partnership also follows a Trump executive order banning “woke AI” and AI models that are deemed non-neutral from government contracts.
