OpenAI Offers ChatGPT Enterprise to US Federal Agencies for $1
OpenAI Partners with US Government to Deliver Deeply Discounted AI Access
OpenAI has struck a significant deal with the U.S. General Services Administration (GSA) to provide ChatGPT Enterprise to participating federal agencies for an unprecedented cost of just $1 per agency for the next year. This move positions OpenAI to outpace competitors like Anthropic and Google in the race to bring advanced AI solutions into federal workflows.
What Does the Deal Include?
- Access to ChatGPT Enterprise: All participating U.S. federal agencies can deploy ChatGPT Enterprise at a symbolic $1 fee for the next year.
- Unlimited Model Usage: Agencies will also get unlimited access to advanced models for an additional 60 days.
- Onboarding and Community: OpenAI is offering introductory training and a government-only user community to help federal employees maximize ChatGPT’s utility.
AI Vendors on the Federal Marketplace
This partnership follows the GSA’s recent addition of OpenAI, Google, and Anthropic to its list of approved AI vendors. Tools from these companies are now available on the Multiple Award Schedule (MAS) — a federal contracting platform making it easier for agencies to procure AI solutions through pre-negotiated agreements.
While OpenAI is offering its flagship product at a steep discount, it’s unclear if competitors will follow suit. GSA Federal Acquisition Service Commissioner Josh Gruenbaum encouraged other American AI companies to "follow OpenAI’s lead and work with us."
Security Remains a Priority
Data protection is crucial for government agencies adopting AI. The GSA has stated that a "cautious, security‑first approach to AI" will ensure sensitive federal data remains protected. Details on specific security measures—such as on-premises or private cloud deployments—are still being finalized, but safeguarding confidential information is at the forefront of this rollout.
Context: A Fast-Changing Federal AI Landscape
This initiative comes shortly after the Trump administration’s publication of an AI Action Plan, which aims to expand data center infrastructure and integrate more AI tools into government operations. A recent executive order also restricts the use of AI models that aren’t deemed "ideologically neutral" in federal contracts, further shaping how AI companies approach government partnerships.
What’s Next?
The federal government’s embrace of AI is accelerating, and with OpenAI’s aggressive pricing, other vendors may feel pressure to match the offer or differentiate on capabilities and security. As agencies begin to experiment with and deploy ChatGPT Enterprise, the focus will remain on both operational efficiency and data security.
