C3 AI Secures $13M Air Force Task Order for Predictive Maintenance Expansion

C3.ai has secured a significant $13 million task order from the U.S. Air Force's Rapid Sustainment Office as part of a larger $450 million Production-Other Transaction Agreement to expand its AI-enabled predictive maintenance system across additional aircraft platforms. This system, known as PANDA, was co-developed by C3.ai and the Air Force and aims to provide near-real-time analytics and data fusion to increase aircraft availability by up to 25%, reduce lifecycle costs, and enhance military readiness. The expansion reflects C3.ai's growing footprint in defense AI, supported by strong revenue growth, including a 25% year-over-year increase and rising subscription revenues that now make up 84% of total revenue. CEO Thomas Siebel highlighted the critical role of enterprise AI in modernizing military preparedness and expressed pride in continuing support for the Air Force. Alongside government contracts, C3.ai is also expanding its presence in the private sector through strategic partnerships with cloud giants like Microsoft, AWS, and Baker Hughes. Despite ongoing financial challenges, the company’s expanding contracts and ecosystem position it well for future growth within both public and private markets.