According to data shared exclusively with Axios, Booz Allen Hamilton has launched a new set of AI capabilities geared at federal military and civilian clients, and will tell investors on Wednesday that it expects to win $500 million to $700 million in government AI contracts in fiscal year 2024.

Generative AI provides the opportunity for government and military institutions to provide faster and better services, requiring officials to better organize and apply the massive volumes of data they now collect.

Some of Booz Allen’s new AI solutions are geared at solving specific problems for specific users, while others give more generic capabilities that developers can adapt for a variety of applications.

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The tools are designed for defensive cybersecurity operations as well as computer vision services that interpret data from photos and videos.
Fine-tuned generative AI models, software for guaranteeing ethical AI deployment, and technologies to safeguard AI models from outside attack are among the broader capabilities.

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Booz Allen already runs aiSSEMBLE, a platform that assists government clients ranging from recreation.gov to the Department of Defense in accelerating AI development and implementation.

Given the size of federal procurement, federal AI contracting could influence broader AI development.

According to a Deltek analysis, government agencies spend approximately $100 billion per year on IT yet struggle to make use of the data at their disposal, triggering a rapid increase in AI spending to around $3 billion per year.

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Government AI contractors are juggling the conflict between offering more transparent AI systems and the danger of opening up new threat vectors as a result of that transparency.

While AI provides new capabilities in sectors such as situational awareness, Israel’s advanced usage of AI did not prevent Hamas assaults — despite cutting-edge investments, systemic intelligence failures occurred.

Federal officials in the United States have similarly delivered mixed messages about the use of generative AI, with the majority advising caution. The likelihood of a federal government shutdown in the United States will hamper AI acquisition even further.

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According to John Larson, a Booz Allen executive vice president and leader of the firm’s AI division, AI “is no longer the purview of the nerds” within the federal government.

According to Larson, new tools (including chatbots) enable larger groups of employees to analyse data using natural language, revealing more inventive ideas and assisting in overcoming tech talent shortages.

“The power of AI is finding patterns and trends that humans just can’t perceive — finding signals among huge amounts of noise,” he remarked.

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