California Signs Discounted Claude Deal With Anthropic

Governor Gavin Newsom has struck a deal with Anthropic giving all California state agencies and local governments access to Claude at half price, along with training and support. The agreement aims to help state employees draft documents and analyze information, following Newsom's March executive order to accelerate AI adoption in government while maintaining safety standards. The deal comes as Anthropic faces a strained relationship with the federal government. The U.S. Department of Defense rejected a contract with Anthropic over the company's insistence on protections against surveillance and autonomous weapons, instead signing with OpenAI and labeling Anthropic a supply-chain risk. California officials say that designation did not factor into their negotiations.