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From UK to US: how OpenAI is partnering with governments worldwide

by DynamicTradesToday
July 22, 2025
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From UK to US: how OpenAI is partnering with governments worldwide
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From the United Kingdom to the United Arab Emirates, and from India to the United States, governments are rapidly turning to artificial intelligence to modernise public service delivery.

OpenAI, the company behind ChatGPT, has emerged as a central player in this global trend.

With new strategic partnerships, governments are using generative AI to boost administrative efficiency, improve access to services, and tackle major policy challenges—while also grappling with the ethical and societal risks of this fast-evolving technology.

UK signs landmark deal to deploy AI across public services

OpenAI CEO Sam Altman this week signed a memorandum of understanding (MoU) with the UK government to explore how AI models can be applied in sectors such as justice, defence, security, and education.

The agreement, formalised with UK Science and Technology Secretary Peter Kyle, outlines plans to use OpenAI’s advanced models, including ChatGPT, to improve how civil servants work and how citizens interact with government services.

The UK has already begun testing AI in government workflows.

A chatbot named “Humphrey,” powered by OpenAI’s GPT-4o model, has been piloted to help civil servants navigate complex official guidance and draft documents.

The early success of the pilot—saving hundreds of hours across departments—paved the way for deeper collaboration.

As part of the new partnership, OpenAI will be granted access to government data sets under strict legal safeguards to tailor AI models for specific national use cases.

Ministers say these AI tools could be used in both public-facing services and internal operations, leading to more responsive governance.

US launches ‘OpenAI for Government’ to support federal operations

In the United States, OpenAI recently launched a dedicated initiative called “OpenAI for Government” to provide federal, state, and local agencies with secure access to its most advanced models.

The tools will be hosted in secure and compliant environments, including Microsoft’s Azure Government Cloud.

A key part of the initiative is a new pilot project with the Department of Defence (DoD), under a $200 million contract.

The collaboration will focus on using AI to streamline services ranging from military health care access to acquisition data analysis and cyber defence.

All applications must comply with OpenAI’s strict usage policies.

This move marks a major milestone in the adoption of generative AI in national security settings and signals growing institutional trust in AI’s potential.

San Francisco becomes a municipal AI leader

At the local level, San Francisco has emerged as a pioneer in municipal AI deployment.

The city is rolling out Microsoft 365 Copilot—powered by OpenAI’s models—to over 30,000 municipal employees.

The initiative is aimed at streamlining administrative tasks such as grant writing and crime tracking.

Mayor London Breed said the move represents the city’s commitment to innovation.

“San Francisco is the global home of AI, and now, we’re putting that innovation to work,” she said.

The city has also implemented transparency protocols and staff training to ensure responsible use of the technology.

UAE integrates OpenAI through G42 partnership

In the Middle East, the United Arab Emirates has teamed up with OpenAI through its strategic partner G42, an Abu Dhabi-based tech company.

This partnership seeks to embed generative AI in public services including healthcare, energy, and administration.

The UAE is focusing on AI deployment that aligns with regional data privacy norms and is exploring local inferencing options to reduce data exposure.

The government has also opened public forums to debate AI ethics and governance—highlighting a growing awareness of the balance between innovation and accountability.

India explores AI hosting with Reliance Jio

India, too, is expanding its collaboration with OpenAI.

According to reports, OpenAI is in talks with Reliance Jio to build local hosting infrastructure in Jamnagar.

This would allow Indian users, including government agencies, to access ChatGPT tools that are tuned to Indian languages and public-sector needs.

OpenAI is also reportedly exploring a significant price cut—up to 85%—on ChatGPT subscriptions for Indian users, aiming to increase accessibility.

Meanwhile, the Indian government is setting up an AI Safety Institute to develop standards for responsible AI use, with OpenAI playing an advisory role.

Other global efforts: Japan, Germany and Israel join in

Japan has introduced a national generative AI assistant designed to support medical professionals in diagnosis and treatment planning.

In Germany, several federal states are experimenting with AI tools to improve public administration, while Israel’s president made headlines by incorporating ChatGPT-generated content into an official address.

These developments show that countries across the political and economic spectrum are experimenting with AI for a variety of civic and operational needs.

Public opinion and the risks of AI

While governments are accelerating AI integration, public opinion remains divided.

A recent Ipsos survey in the UK found that 31% of respondents were excited about AI’s possibilities but had some concerns about risks, while another 30% were more concerned than hopeful.

Science Secretary Peter Kyle acknowledged both the promise and challenge of AI.

“AI will be fundamental in driving the change we need to see across the country,” he said, adding that the UK’s collaboration with OpenAI would ensure that Britain retains agency over how this technology evolves.

Altman echoed this sentiment, praising Britain’s legacy in scientific innovation. “Now it’s time to deliver on the AI action plan’s goals by turning ambition into action and delivering prosperity for all,” he said.

The post From UK to US: how OpenAI is partnering with governments worldwide appeared first on Invezz

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