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Palantir and Anduril reportedly building a tech consortium to bid on defense contracts

Two big defense tech players, Palantir and Anduril, are talking to tech companies including SpaceX, OpenAI, Saronic, and Scale AI about forming a consortium to bid on Pentagon contracts, according to a report in the Financial Times. The goal, the FT says, is to challenge the dominance of β€œprime” defense contractors like Lockheed Martin, Raytheon, […]

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Archer teams up with Anduril and raises $430 million to build defense aircraft

Funding to defense tech companies has boomed in 2024 as geopolitical tensions rise, advancements in AI abound, and investors seek out a new growth area amid a broader tech sector slowdown.Β  Archer Aviation wants in on the action.Β  The aviation startup, which is building vertical take-off and landing (VTOL) aircraft, said Thursday that it has […]

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Soon, the tech behind ChatGPT may help drone operators decide which enemies to kill

As the AI industry grows in size and influence, the companies involved have begun making stark choices about where they land on issues of life and death. For example, can their AI models be used to guide weapons or make targeting decisions? Different companies have answered this question in different ways, but for ChatGPT maker OpenAI, what started as a hard line against weapons development and military applications has slipped away over time.

On Wednesday, defense-tech company Anduril Industriesβ€”started by Oculus founder Palmer Luckey in 2017β€”announced a partnership with OpenAI to develop AI models (similar to the GPT-4o and o1 models that power ChatGPT) to help US and allied forces identify and defend against aerial attacks.

The companies say their AI models will process data to reduce the workload on humans. "As part of the new initiative, Anduril and OpenAI will explore how leading-edge AI models can be leveraged to rapidly synthesize time-sensitive data, reduce the burden on human operators, and improve situational awareness," Anduril said in a statement.

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Palmer Luckey's Anduril is partnering with OpenAI on AI defense tech

Palmer Luckey and Sam Altman
Palmer Luckey's Anduril has partnered with Sam Altman's OpenAI.

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  • OpenAI partnered with Anduril to enhance AI in defense tech.
  • Anduril, known for autonomous military drones, has secured major US government contracts recently.
  • The partnership aims to improve US counter-unmanned aircraft systems, the company said.

OpenAI is getting into the world of defense tech through a partnership with Palmer Luckey's Anduril.

On Thursday, Anduril said it entered a partnership with OpenAI to "deploy advanced artificial intelligence (AI) solutions for national security missions."

The partnership will focus on improving the US counter-unmanned aircraft systems' ability to detect and respond to aerial threats, the company said in a statement.

The company also said that their partnership is a "pivotal moment" in the accelerating AI race between the US and China.

"The decisions made now will determine whether the United States remains a leader in the 21st century or risks being outpaced by adversaries who don't share our commitment to freedom and democracy and would use AI to threaten other countries," Anduril said.

Anduril, which generally makes autonomous vehicles for military use, has secured several multimillion-dollar contracts from the US government in recent years. Luckey founded Anduril in 2017 after previously founding virtual reality company Oculus, which he sold to Meta for $2 billion.

Anduril in October unveiled its new AI-powered Bolt-M drone, which can fit inside a backpack. The company developed the drones as part of $249 million in contracts awarded to Anduril, AeroVironment, and Teledyne FLIR to provide self-destructing drones for the Defense Department.

Defense tech leaders, including Luckey, have warned that AI could lead to a future of warfare dominated by cheap autonomous machinery like drones. Scott Sacknoff, president of aerospace and defense investment firm Spade Index, previously told Business Insider that autonomous drones are "definitely a trend."

Sacknoff said the military defense business is constantly looking for a "counter" to the newest technology and that the growth of autonomous drones would likely bring more innovations to stop them.

"The next phase will be someone β€” and they already are β€” working on developing the technology to be countering drones," he said.

OpenAI CEO Sam Altman said in the statement that OpenAI supports "US-led efforts" to ensure that artificial intelligence "upholds democratic values."

"Our partnership with Anduril will help ensure OpenAI technology protects US military personnel, and will help the national security community understand and responsibly use this technology to keep our citizens safe and free," Altman said.

OpenAI and Anduril didn't respond to Business Insider's request for comment.

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OpenAI inks deal to upgrade Anduril’s anti-drone tech

OpenAI plans to team up with Anduril, the defense startup, to supply its AI tech to systems the U.S. military uses to counter drone attacks. The Wall Street Journal reports that Anduril will incorporate OpenAI tech into software that assesses and tracks unmanned aircraft. Anduril tells the publication that OpenAI’s models could improve the accuracy […]

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Palmer Luckey says his Facebook firing changed the way he does business

Palmer Luckey, wearing a Hawaiian shirt with a pineapple print, speaking at a conference.
Palmer Luckey, founder of Oculus and Anduril Industries, is using caution in his business dealings.

Getty Images/Patrick T. Fallon

  • Palmer Luckey said his firing from Facebook changed his approach to business relationships.
  • Luckey was ousted after donating to a pro-Donald Trump group, affecting his reputation.
  • He went on to found Anduril Industries, a $14 billion defense startup.

Oculus founder Palmer Luckey said his frosty departure from Facebook years ago changed the way he approaches business deals.

The billionaire was ousted from the tech company, which bought Oculus in 2014, in 2016 after a report that he'd donated to a pro-Donald Trump group. Luckey went on to become the founder and face of Anduril Industries, a tech defense startup reportedly worth $14 billion, but he told Fortune that the dramatic firing changed how he approaches business.

It's still on his mind almost a decade later. Fortune reported that Luckey now asks himself specific questions when it comes to dealing with new people.

"What is the worst situation I could end up in with this person or this company? If this goes south, what is the worst thing that could happen to me?"

He said he often assumes a "person is gonna try to f–k me" when going into conversations. Luckey, who is worth $2.4 billion, according to Forbes, issued an apology when his Trump donations were first reported but has since become vocal about his support of the president-elect.

Facebook, now Meta, has maintained that his firing wasn't related to politics, but Luckey has argued against its assertion in the past. He told Fortune that he regrets apologizing. Years after Luckey left the company, former Facebook and Oculus exec John Carmack expressed his own regret for not coming to his defense in the "witch hunt."

Now, as his defense company supplies weapons for the Russia-Ukraine war, he said he's working on his reputation in the business world.

"I cannot accomplish anything of significance if I don't care what people think of me," Luckey said to Fortune.

He added, "And that is what I'm most terrified of at this point."

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