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White House earmarks $9B for AI chips to modernize spy agencies

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The White House has cleared a $9 billion request to purchase cutting‑edge processors for the CIA and NSA, aiming to close a chip gap that hampers deployment of the latest AI models on classified networks. Officials say the shortage threatens the agencies’ ability to run power‑hungry systems like Nvidia’s Grace Blackwell superchip.

Funding will boost data‑center capacity, including high‑power supplies and liquid‑cooling infrastructure needed for the Blackwell line. An additional $800 million is being reprogrammed for rapid acquisition, while Congress still must approve the bulk request. The move reflects AI’s growing role in sifting massive intelligence streams and spotting hidden communications.

To sidestep supply constraints, chief of staff Susie Wiles authorized the NSA to keep using Anthropic’s Mythos model, despite Pentagon concerns over the vendor. A classified contract will permit limited use on newer chips without exposing American data. The approval underscores escalating competition for frontier chips across defense, intelligence and commercial AI firms.