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OpenAI’s hiring of former Army Secretary just 2 months after Pentagon resignation is part of a ‘trend’ of it pivoting resources to defense projects

Reported by Fortune
Nov 3, 2026· 3 min read
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Key Takeaways
  • • OpenAI hired former U.S. Army Secretary Dan Driscoll as senior counselor for national security modernization, announced on a Monday, about two months after he left the Trump administration's Pentagon post in September.
  • • The role will advise OpenAI's public and private sector partners on modernizing policy and strategy for improving national security with AI, according to OpenAI.
  • • Driscoll's exit followed reported tensions with Defense Secretary Pete Hegseth over promotions and the scale of Pentagon modernization efforts, after roughly 18 months in the post.
  • • Gwanhoo Lee of American University's Kogod School of Business warned the hire raises a "revolving door" conflict-of-interest concern for government procurement.
  • • OpenAI said all parties are aware of post-employment restrictions and will comply; Driscoll did not respond to Fortune's request for comment.
Summary
OpenAI has hired former U.S. Army Secretary Dan Driscoll to the newly created role of senior counselor for national security modernization, the company announced on Monday, according to Fortune. The appointment comes two months after Driscoll left the Pentagon in September following reported clashes with Defense Secretary Pete Hegseth, particularly over promotions and the scale of the department's modernization efforts. According to OpenAI, Driscoll will advise its public and private sector partners on modernizing policy and strategy to improve national security with AI, with a focus on responsible use to strengthen security among the United States and its allies.

During his tenure, Driscoll pushed initiatives including low-cost battlefield drones, reduced regulatory burdens for defense contractors developing drones, and a shift of the Pentagon toward commercial software rather than custom-built military software. He also took part in European diplomacy aimed at ending the Russia-Ukraine war. Driscoll's exit followed other senior military departures, including the ouster of Gen. Randy George in April and the resignation of Gen. Christopher Donahue in June.

The hire fits a broader pattern of OpenAI deepening ties with the defense sector. In June 2024 the company appointed retired Army General Paul Nakasone, former National Security Agency director, to its board, and later that year partnered with defense firm Anduril. OpenAI won a $200 million Department of Defense contract in June 2025 to design AI tools for national security challenges, and in February signed a deal to deploy its models on Pentagon secure networks under an "all lawful use" clause. That agreement followed the Trump administration's move against Anthropic, which had refused to drop safety restrictions on surveillance and autonomous weapons uses.

Gwanhoo Lee, chair of the Department of Information Technology and Analytics at American University's Kogod School of Business, told Fortune the hire continues OpenAI's strategy of hiring significant government officials to strengthen its relationships with agencies. He warned of a "revolving door problem," noting that procurement decisions could be compromised if contracts are awarded on relationships rather than technological merit. Lee called for clearer oversight and conflict-of-interest rules. OpenAI said all parties are aware of post-employment restrictions and will comply. Driscoll did not respond to a request for comment.

Driscoll's prior private-sector experience includes serving as chief operating officer at venture capital firm Flex Capital and as a partner at private equity firm 100watt. He served in the U.S. military from 2007 to 2011.

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Sources

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AlphaMaven summarised this story from the reporting below. Each link opens the original article.

Fortune OpenAI’s hiring of former Army Secretary just 2 months after Pentagon resignation is part of a ‘trend’ of it pivoting resources to defense projects