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

TechCrunch AI Amanda Silberling June 29, 2026
Anthropic and Gov. Newsom forge deal allowing California government to use Claude at half price
AI Summary— plain English for professionals

# California Gets a Deal on Anthropic's AI Anthropic, a major artificial intelligence company, has struck a discounted pricing agreement with California's government, allowing state agencies to use its Claude AI system at half the regular cost. This partnership signals growing interest from government institutions in alternatives to OpenAI's ChatGPT, though it's also created tension with federal officials who appear to favor other AI providers.

As Anthropic forges a closer relationship with the state of California, the federal government has made an enemy out of the OpenAI rival.

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