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Anthropic, Google and xAI win $200M each from Pentagon AI chief for ‘agentic AI’

Service members with U.S. Special Operations Command and U.S. Central Command use artificial intelligence to accomplish a practical exercise. (U.S. Air Force photo by Tech. Sgt. Marleah Miller)
By Sydney J. Freedberg Jr •

The military’s central artificial intelligence hub has quadrupled down on its investment in commercial “frontier AI.”

The Pentagon’s Chief Digital & AI Office (CDAO) announced that it would split $600 million in contracts evenly among Anthropic, Google, and xAI, following on a similar $200 million award to OpenAI announced last month.

If CDAO exercises all its options on all four contracts — which isn’t guaranteed — that’s a total of $800 million the Pentagon is pouring not into bespoke military R&D from dedicated defense contractors, but into widely available, widely applicable commercial tech.

Read more at Breaking Defense

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