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Anthropic Challenges OpenAI, Offers Claude to All Three Government Branches for $1

ByHilary Ong

Aug 14, 2025

Anthropic Challenges OpenAI, Offers Claude to All Three Government Branches for $1

Just a week after OpenAI said it would provide ChatGPT Enterprise to the federal executive branch for $1 per year per agency, Anthropic has stepped in with a broader counteroffer. The AI company announced Tuesday it will make its Claude models available to all three branches of the U.S. government — executive, legislative, and judicial — for the same $1 rate, valid for one year.

Expanding the Reach Beyond OpenAI’s Offer

Anthropic, OpenAI, and Google DeepMind were recently approved by the General Services Administration to sell AI services to civilian federal agencies. While OpenAI’s deal is limited to the executive branch, Anthropic’s wider scope is a deliberate bid to capture more of the government AI market. In its statement, Anthropic said it wants the U.S. public sector to have access to the most advanced AI tools for solving challenges ranging from science and research to public service delivery, while maintaining uncompromising security standards.

Anthropic will provide both Claude for Enterprise and Claude for Government. The latter is certified for FedRAMP High, the most stringent security baseline for handling sensitive but unclassified government data. The company says Claude can be deployed via AWS, Google Cloud, or Palantir, giving agencies greater control over their infrastructure and data.

Competitive Advantage in Multicloud Access

Anthropic’s multicloud strategy could give it an edge over OpenAI’s FedRAMP High offering, which is currently tied exclusively to Azure Government Cloud. Some agencies may prefer the flexibility and data sovereignty that comes with having multiple cloud providers to choose from.

Claude is already being used at Lawrence Livermore National Laboratory to accelerate scientific discovery, and at the District of Columbia Department of Health to help residents access services in multiple languages. Anthropic is also part of a Department of Defense program providing up to $200 million for AI projects supporting national security.

Author’s Opinion

Anthropic’s $1 offer is a smart, aggressive play to build long-term government relationships. By covering all three branches, it is widening the door for future contracts and integrations. Once embedded in government systems, Claude will be difficult to replace, making this less about short-term pricing and more about securing a permanent foothold in federal AI infrastructure.


Featured image credit: Mobile World Live

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Hilary Ong

Hello, from one tech geek to another. Not your beloved TechCrunch writer, but a writer with an avid interest in the fast-paced tech scenes and all the latest tech mojo. I bring with me a unique take towards tech with a honed applied psychology perspective to make tech news digestible. In other words, I deliver tech news that is easy to read.

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