OpenAI Gives US Agencies 50% Off Models, Ending $1 Per Year Deal

Bloomberg reported that OpenAI is now offering U.S. federal agencies a 50 % discount on its AI models, ending the previous $1‑per‑year pricing arrangement. The announcement came amid broader federal efforts to modernize technology procurement. Implementation is set through the General Services Administration's new OneGov portal.

Nextgov and FCW detailed that the discount will be delivered through a token‑based OneGov program, allowing agencies to purchase compute credits at reduced rates. Fox Business noted that the move aligns with a partnership announced by the Trump administration to equip federal employees with artificial‑intelligence tools. OpenAI’s own announcement highlighted that the pricing shift supports expanded AI access and cyber‑defense capabilities for federal, state, local and tribal governments.

While Bloomberg and OpenAI focus on the pricing mechanism, Fox Business frames the effort as a direct partnership with the current administration, and Nextgov emphasizes the token‑based discount structure. No outlet disputes the core fact that the $1‑per‑year deal is terminated. As of the latest reports, the 50 % discount is active for eligible U.S. agencies.