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    Home»Startups»OpenAI just won a 2nd Australian government contract after being the only company invited to bid
    Startups

    OpenAI just won a 2nd Australian government contract after being the only company invited to bid

    Editor Times FeaturedBy Editor Times FeaturedOctober 23, 2025No Comments4 Mins Read
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    OpenAI is steadily embedding itself within the Australian authorities, with the US tech large profitable its second contract with none competitors as the general public sector is inspired to embrace public generative AI instruments.

    The Digital Transformation Company (DTA) final week issued new steerage recommending companies and departments be inspired to make use of public generative AI instruments comparable to OpenAI’s ChatGPT for work involving OFFICIAL stage authorities information.

    OpenAI gained its first Australian authorities contract in June when it landed a small $50,000 one-year take care of Treasury for “software-as-a-service”.

    It has now gained a second smaller $25,000 contract with the Commonwealth Grants Fee for the “provision of AI” for 12 months.

    As a result of each contracts had been price beneath $80,000, the companies weren’t required to open them to aggressive tender — and OpenAI was the one firm invited to bid.

    Whereas modest in measurement, the offers mark OpenAI’s first foothold in federal authorities and will pave the way in which for bigger, longer-term engagements.

    OpenAI involves Canberra

    OpenAI has been actively increasing its presence in Canberra.

    The corporate lately employed Bourke Road Advisory as its native lobbyist, in line with the federal register, and despatched senior executives to Australia final week to debate potential information centre offers.

    OpenAI chief international affairs Chris Lehane, talking at SXSW Sydney final week, stated Australia may play a pivotal position within the international AI infrastructure race.

    OpenAI chief international affairs Chris Lehane spoke at SXSW Sydney final week in regards to the position Australia may play. Picture: Hanna Lassen/SXSW

    “Australia may create frontier-class inference mannequin that embeds native languages, customs and tradition,” Lehane stated on the convention.

    “You’d have an Australian-sovereign mannequin that enhances productiveness right here and exports it overseas.

    “It’s chips, it’s information, it’s power and it’s expertise – that’s the brand new stack of energy.

    “Whichever nation can marshal these sources will decide whether or not the world is constructed on democratic or autocratic AI.”

    GenAI within the public sector

    The brand new OpenAI contract was revealed in the identical week DTA launched new steerage for the Australian authorities’s use of public generative AI instruments, comparable to ChatGPT.

    This recommendation encourages the expanded use of those instruments for a spread of labor involving data as much as the OFFICIAL stage of classification.

    “Generative AI is right here to remain,” DTA deputy CEO Lucy Poole stated in an announcement.

    “This steerage provides our workforce the arrogance to make use of generative AI instruments of their roles whereas conserving safety and public belief on the centre of every part we do.

    “We don’t need to be in a scenario the place employees, from any company, are utilizing these instruments with out correct recommendation.

    “Making certain employees have clear steerage on what data they’ll share with these providers, and the way, is important to minimise dangers and maximise the alternatives that AI presents to the general public service.”

    The framework introduces three overarching rules: defend privateness and safeguard authorities data; use judgement and critically assess generative AI outputs and be capable of clarify; and justify and take possession of your recommendation and selections.

    The steerage permits public sector employees to make use of public generative AI instruments for OFFICIAL-level authorities data to assist with brainstorming, analysis, figuring out public obtainable analysis papers, suggesting methods to current program data and to help with information evaluation and sample identification, amongst others.

    It outlines that generative AI shouldn’t be used for any work involving delicate data, for assessing purposes or within the procurement course of.

    It builds on final yr’s Technical Standards for Government’s Use of Artificial Intelligence, which defines 42 necessities throughout the AI system lifecycle — from design and information by way of to monitoring and decommissioning — to make sure accountable and constant adoption.

    The transfer follows an Australian Nationwide Audit Workplace report revealing at least 20 government entities were using AI last year without any formal policies in place.

    • This story first appeared on Information Age. You possibly can learn the original here.



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