AI Education Executive Order: What It Means for Contractors and Small Businesses
Big news from Washington: On April 23, 2025, President Trump signed an Executive Order aimed at massively expanding Artificial Intelligence (AI) education across the U.S. K-12 and postsecondary systems. The move isn't just about coding classes—it’s about building a full ecosystem of AI literacy for students, teachers, and lifelong learners. And if you’re a government contractor or small business, especially those offering training, technology, or workforce solutions, this could open new doors.
What Happened:
A new White House Task Force on Artificial Intelligence Education has been created.
A national "Presidential Artificial Intelligence Challenge" will launch, encouraging student and teacher innovation.
Federal agencies are tasked with creating public-private partnerships to develop K-12 AI education resources.
The Department of Education will issue guidance on using grant funds for AI tools and training.
Prioritized federal funding will support teacher professional development in AI and computer science.
Why It Matters: This Executive Order signals a long-term investment in AI skills across the American workforce—starting now, not 10 years from now. That means the demand for AI curriculum developers, workforce training providers, teacher support services, education technology platforms, and grant writers focused on STEM education is about to grow.
If your business works in:
611710 – Educational Support Services: Perfect for curriculum development, teacher training, and AI education programs.
541715 – Research and Development in the Physical, Engineering, and Life Sciences: Relevant for developing AI-focused educational tools and resources.
611420 – Computer Training: Applies to businesses offering AI, coding, and tech literacy training.
541511 – Custom Computer Programming Services: For firms building specialized AI training platforms or educational software.
541612 – Human Resources Consulting Services: Useful for workforce development and reskilling initiatives tied to AI readiness.
These are strong fits for upcoming opportunities—and getting positioned now will matter.
Actionable Next Steps:
Get ahead of agency RFPs: Watch DOE, NSF, and USDA grant announcements related to AI in education over the next 6–12 months.
Update your contractor NAICS code portfolio: Make sure you’re aligned with education, training, and R&D categories that will be in demand.
Prepare your certifications: Federal grants tied to this initiative may prioritize contractors with small business, women-owned, veteran-owned, or 8(a) status.
Build partnerships: The Executive Order emphasizes public-private collaboration. Start identifying potential K-12 schools, nonprofits, and other businesses to jointly pursue opportunities.
Stay grant-ready: If you work in education services, training, or curriculum development, now is the time to invest in SBIR Grant Assistance or other educational grant programs.
Final Thoughts: AI is no longer just a tech-sector buzzword—it's a national education priority. Contractors who can tie their offerings directly to K-12 AI literacy, teacher training, or workforce development will be in a strong position. The Executive Order isn’t just a policy document; it’s a signal flare for new government contracting opportunities—especially for nimble, innovative small businesses ready to move fast.
If you found this update helpful, be sure to check out our blog post on "The Government's Legacy IT Problem: COBOL, Floppies, and the $18 Million AI Fix" — it offers a fascinating look at how AI is already reshaping federal contracting priorities.
If you aren't a Squared Compass partner, what are you waiting for? From getting your business set up with specific government set aside programs at both the State and Federal level, to being empowered by a Fractional Capture team to win government contracts, to receiving tailored government contract opportunities Squared Compass delivers immense value which helps propel our partners to success. Schedule a chat with our team today.
