CSU renews controversial OpenAI deal despite faculty criticism, budget cuts

CALIFORNIA STATE UNIVERSITY officials have renewed their controversial contract with OpenAI — developer of ChatGPT — reigniting a fight over institutional priorities at a time when the system faces millions of dollars in budget cuts.

A CSU spokesperson confirmed to EdSource on Wednesday that the university will pay $13 million a year for three years to provide systemwide access to its more than 470,000 students and 63,000 faculty and staff. The previous 18-month subscription cost $17 million and expires at the end of June.