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Anthropic and Gov. Newsom forge deal allowing California government to use Claude at half price

Governor Gavin Newsom (D-CA) and Anthropic have made a deal that allows California government agencies to use Claude at a discounted price.

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Governor Gavin Newsom (D-CA) and Anthropic have made a deal that allows California government agencies to use Claude at a discounted price.

The short version

  • This agreement comes at a time when businesses are struggling to manage the hefty costs of enterprise subscriptions to AI tools.
  • Under the deal, all state agencies and local governments will have access to Claude, Anthropic’s AI chatbot, as well as training and support from Anthropic.
  • A press release from the Governor’s office says that Claude will help state employees draft documents and analyze information.
  • “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 Newsom said in a statement .

What happened

This deal follows Newsom’s March executive order that intends to accelerate the use of AI “to make government more efficient” while also maintaining stronger safety standards. “While others in Washington are designing policy and creating contracts in the shadow of misuse, we’re focused on doing this the right way,” Newsom said at the time.

Why it matters

Amanda Silberling is a senior writer at TechCrunch covering the intersection of technology and culture.

Summary by Nerd News Network. Read the full article at TechCrunch via the links above and below.

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