Key Takeaways
- NATO and OpenAI are negotiating deployment of AI systems on non-classified military networks following CEO Sam Altman’s clarification about access levels
- OpenAI recently finalized an agreement to integrate AI capabilities into the Pentagon’s secure classified infrastructure
- The Trump administration directed government departments to terminate Anthropic partnerships, eliminating contracts exceeding $200 million
- Anthropic’s federal access was revoked following its rejection of Pentagon requirements for unlimited AI utilization
- Federal departments including State, Treasury, and Health and Human Services are transitioning from Anthropic to OpenAI platforms
OpenAI is pursuing a partnership with NATO while standing behind its controversial Pentagon agreement, as the federal government systematically eliminates Anthropic from government contracts.
During an internal company meeting on Tuesday, OpenAI CEO Sam Altman told employees he supports the Defense Department partnership, though he acknowledged the timing of the public announcement appeared hasty and self-serving.
“We were genuinely trying to de-escalate things and avoid a much worse outcome, but I think it just looked opportunistic and sloppy,” Altman said in a memo posted on X.
The previous week, OpenAI finalized a contract with the U.S. Department of Defense to integrate its artificial intelligence systems into a secure government infrastructure. This arrangement materialized shortly after President Trump directed federal agencies to discontinue their use of Anthropic’s AI technologies.
The Trump administration terminated more than $200 million worth of Anthropic agreements. Defense Secretary Pete Hegseth characterized Anthropic as representing a national security “supply chain risk.”
The Reason Behind Anthropic’s Federal Contract Termination
Anthropic CEO Dario Amodei stated his organization lost government access after declining to relax limitations on military applications of its AI technology. The company had turned down requests for unrestricted model access.
Anthropic had explicitly objected to deploying its AI for widespread domestic surveillance operations or completely autonomous weapon systems. While the Pentagon stated no interest in such applications, it insisted on permitting all legally authorized AI uses.
OpenAI’s revised Pentagon contract specifies its AI “shall not be intentionally used for domestic surveillance of U.S. persons and nationals.” The NSA additionally verified that intelligence agencies would not utilize AI services under this agreement.
Altman expressed no regrets about partnering with the Defense Department, though he acknowledged wishing the announcement had been delayed. He informed staff the timing made OpenAI appear to capitalize on Anthropic’s removal.
“To try so hard to do the right thing and get so absolutely personally crushed for it is really painful,” Altman said at the staff meeting.
NATO Partnership Negotiations with OpenAI
In parallel developments, OpenAI is conducting discussions to implement its technology across NATO’s non-classified network infrastructure. NATO represents a 32-nation military coalition.
Altman initially informed employees that OpenAI was exploring deployment across all NATO classified systems. A company representative subsequently issued a correction, clarifying the contract opportunity involves unclassified networks exclusively.
NATO declined to provide comment on the matter.
Federal departments including the State Department, Treasury, and the Department of Health and Human Services are likewise discontinuing Anthropic’s AI solutions in compliance with the White House directive.
Anthropic receives financial backing from Amazon and Google. OpenAI counts Microsoft and Amazon among its major investors.
OpenAI released a public statement indicating it disagrees with the U.S. government’s designation of Anthropic as a “supply chain risk.”
Altman noted the government offered OpenAI significant input regarding technology deployment. “We have built a technology that is going to be the fundamentally most important tool for the government and governments around the world,” he said.


