diff --git a/dspy/datasets/__init__.py b/dspy/datasets/__init__.py
index 731284aa5f..543a807b0c 100644
--- a/dspy/datasets/__init__.py
+++ b/dspy/datasets/__init__.py
@@ -1,3 +1,4 @@
+from dspy.datasets.ai2_arc import AI2ARC
 from dspy.datasets.alfworld import AlfWorld
 from dspy.datasets.colors import Colors
 from dspy.datasets.dataloader import DataLoader
@@ -6,6 +7,7 @@
 from dspy.datasets.math import MATH
 
 __all__ = [
+    "AI2ARC",
     "Colors",
     "DataLoader",
     "Dataset",
diff --git a/dspy/datasets/ai2_arc.py b/dspy/datasets/ai2_arc.py
new file mode 100644
index 0000000000..39fb347d73
--- /dev/null
+++ b/dspy/datasets/ai2_arc.py
@@ -0,0 +1,136 @@
+import re
+from typing import Literal
+
+import tqdm
+
+import dspy
+
+
+class AI2ARC:
+    """AI2 Reasoning Challenge (ARC) Dataset.
+    
+    The ARC dataset contains multiple-choice science questions at a grade-school level.
+    It consists of two subsets: ARC-Challenge (harder questions) and ARC-Easy (easier questions).
+    
+    Args:
+        subset: Either "challenge" or "easy" to specify which subset to load
+    """
+
+    def __init__(self, subset: Literal["challenge", "easy"] = "challenge"):
+        if subset not in ["challenge", "easy"]:
+            raise ValueError("subset must be either 'challenge' or 'easy'")
+
+        self.subset = subset
+
+        from datasets import load_dataset
+
+        dataset_name = "allenai/ai2_arc"
+        config_name = f"ARC-{subset.title()}"
+
+        try:
+            hf_dataset = load_dataset(dataset_name, config_name)
+        except Exception as e:
+            raise RuntimeError(f"Failed to load {config_name} from {dataset_name}: {e}")
+
+        official_train = self._process_split(hf_dataset["train"])
+        official_dev = self._process_split(hf_dataset["validation"])
+        official_test = self._process_split(hf_dataset["test"])
+
+        self.train = [dspy.Example(**x).with_inputs("question", "choices") for x in official_train]
+        self.dev = [dspy.Example(**x).with_inputs("question", "choices") for x in official_dev]
+        self.test = [dspy.Example(**x).with_inputs("question", "choices") for x in official_test]
+
+    def _process_split(self, split_data):
+        """Process a data split and convert to DSPy format."""
+        processed_data = []
+
+        for example in tqdm.tqdm(split_data, desc=f"Processing {self.subset} split"):
+            choices_text = []
+            choice_labels = example["choices"]["label"]
+            choice_texts = example["choices"]["text"]
+
+            for label, text in zip(choice_labels, choice_texts, strict=False):
+                choices_text.append(f"({label}) {text}")
+
+            processed_example = {
+                "id": example["id"],
+                "question": example["question"],
+                "choices": "\n".join(choices_text),
+                "choices_list": choice_texts,
+                "choice_labels": choice_labels,
+                "answer": example["answerKey"],
+                "answer_text": self._get_answer_text(example)
+            }
+
+            processed_data.append(processed_example)
+
+        return processed_data
+
+    def _get_answer_text(self, example):
+        """Extract the answer text corresponding to the correct answer key."""
+        answer_key = example["answerKey"]
+        choice_labels = example["choices"]["label"]
+        choice_texts = example["choices"]["text"]
+
+        try:
+            answer_index = choice_labels.index(answer_key)
+            return choice_texts[answer_index]
+        except ValueError:
+            # If answer key not found in labels, return the key itself
+            return answer_key
+
+
+def ai2_arc_metric(gold, pred, trace=None):
+    """Metric function for AI2 ARC dataset.
+    
+    Args:
+        gold: Gold example with 'answer' field
+        pred: Predicted example with 'answer' field
+        trace: Optional trace (unused)
+        
+    Returns:
+        bool: True if prediction matches gold answer
+    """
+    pred_answer = _parse_arc_answer(pred.answer)
+    gold_answer = _parse_arc_answer(gold.answer)
+
+    if len(pred_answer) == 1 and pred_answer in ["A", "B", "C", "D"]:
+        return pred_answer == gold_answer
+
+    for letter in ["A", "B", "C", "D"]:
+        if f"({letter})" in pred_answer or f"{letter})" in pred_answer:
+            return letter == gold_answer
+
+    return False
+
+
+def _parse_arc_answer(answer_text):
+    """Parse answer from model output to extract the letter choice.
+    
+    Args:
+        answer_text: Raw model output
+        
+    Returns:
+        str: Extracted answer letter (A, B, C, or D), or the original text if not found
+    """
+    answer_text = str(answer_text).strip().upper()
+
+    patterns = [
+        r"\(([ABCD])\)",  # (A), (B), etc.
+        r"([ABCD])\)",    # A), B), etc.
+        r"^([ABCD])$",    # Just A, B, C, D at start of line
+        r"answer is ([ABCD])",  # "answer is A"
+        r"choice ([ABCD])",     # "choice A"
+    ]
+
+    for pattern in patterns:
+        match = re.search(pattern, answer_text.upper())
+        if match:
+            return match.group(1)
+
+    # If no pattern found, return the first letter if it's A, B, C, or D
+    first_char = answer_text.upper()[0] if answer_text else ""
+    if first_char in ["A", "B", "C", "D"]:
+        return first_char
+
+    return answer_text