California has entered into an agreement with Anthropic that gives state agencies, cities and counties access to Claude at a 50% discount. The arrangement also includes free workforce training, technical assistance and guidance from Anthropic developers.
Claude is the first AI productivity tool available to every state agency through the California Department of Technology’s Statewide Information Technology Shared Services portal. According to the governor’s official announcement, employees can use it to draft and summarize documents, analyze information and support daily administrative work.
“AI should not replace the human work of government; it should help our workers move faster, solve problems more effectively, and deliver better results for Californians,” Governor Gavin Newsom said.
Claude Is Already Used Across California Government
California agencies have already deployed Claude for several public-sector projects. The Department of Motor Vehicles is using it to improve customer service and reduce wait times, while the Department of Health Care Services uses it for internal workflows supporting Medicaid recipients.
The California Department of Technology and the Governor’s Office of Emergency Services are also using Claude Security and Claude Code to scan, assess and patch state software. Claude supported the development of Poppy, an internal tool with pre-built prompts for common government tasks, and Engaged California, a platform designed to involve residents in policymaking.
The partnership follows Newsom’s March 2026 executive order, which expanded the state’s use of AI while strengthening civil rights and privacy requirements for government procurement. California has also produced AI purchasing guidelines, workforce training programs and assessments focused on risks to vulnerable communities.
State Partnership Contrasts With Federal Dispute
The agreement comes as Anthropic remains in a dispute with the Pentagon over the government’s proposed use of Claude. Anthropic sought restrictions against mass domestic surveillance and fully autonomous weapons without human oversight, while the Defense Department wanted permission to use the technology for lawful purposes.
The Pentagon designated Anthropic a supply-chain risk in March 2026, restricting the use of Claude by contractors working directly on military contracts. Anthropic said in its statement on the designation that the restriction has a narrow scope and does not affect contractors’ unrelated work.
The Pentagon later reached an agreement with OpenAI for AI deployment in classified environments. OpenAI said its contract prohibits mass domestic surveillance and the independent direction of autonomous weapons, while allowing the company to retain control of its safety systems.
California Chief Information Officer Chris Given told Politico that Anthropic’s federal supply-chain designation did not arise during negotiations over the state agreement.
Featured image credits: Syllaby.io
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