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California government will use Anthropic's Claude at HALF price

Governor Gavin Newsom announces a partnership with Anthropic, offering state agencies and local governments access to Claude at half price, including training and support.

Source:TechCrunch AI·2 min read·Jun 29

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California government will use Anthropic's Claude at HALF price

Governor Gavin Newsom announces a partnership with Anthropic, offering state agencies and local governments access to Claude at half price, including training and support.

On June 29, 2026, Governor Gavin Newsom announced a groundbreaking partnership with AI company Anthropic. The deal extends to all California state agencies and local governments, offering Anthropic's Claude at half price.

The deal includes access to Claude along with training and support from Anthropic, ensuring seamless integration. Claude can help state employees draft documents and analyze information faster, enhancing productivity.

Governor Newsom emphasized that AI should augment human work, not replace it, aiming to improve efficiency and results. This move follows Newsom's March 2026 executive order to accelerate AI use in government while maintaining safety standards.

In contrast, the Pentagon labeled Anthropic a 'supply-chain risk' in 2026, opting for OpenAI instead. California's CIO Chris Given noted that the Pentagon's designation 'just didn't come up' in negotiations.

With access to Claude and comprehensive support, state employees can work more efficiently and effectively. What if other states follow California's lead? How could this reshape government AI use and safety standards? The future is uncertain but promising.

Key facts

  • On June 29, 2026, Governor Gavin Newsom and AI company Anthropic announced a partnership.
  • All California state agencies AND local governments can now access Claude (Anthropic's AI) at HALF price.
  • The deal includes access to Claude plus training and support from Anthropic.
  • Use cases: helping state employees draft documents and analyze information faster.
  • Newsom quote: "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."
  • Context: follows Newsom's March 2026 executive order to accelerate government AI use while keeping safety standards.
  • Notable divergence from the federal government: the Pentagon earlier in 2026 labeled Anthropic a "supply-chain risk" and gave contracts to OpenAI instead. California's CIO Chris Given said that designation "just didn't come up" in negotiations.

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