Federal court allows the U.S. government to label Anthropic a supply chain risk
In the latest twist in Anthropic’s dispute with the Pentagon , a federal appeals court on Friday rejected the AI lab’s challenge to the government’s labeling of it as a supply chain risk . The decision allows the Pentagon to continue to remove Anthropic’s Claude models from its systems and bar the use of its products for Defense Department work. Judges from the U.S. Court of Appeals for the…
A federal appeals court on Friday upheld the Pentagon's designation of AI startup Anthropic as a supply chain risk. The decision allows the government to continue removing Anthropic's Claude models from its systems and barring the use of its products for Defense Department work. The U.S. Court of Appeals for the District of Columbia Circuit ruled 2-1 in favor of the Pentagon.
The dispute began in February when Trump and Defense Secretary Pete Hegseth accused Anthropic of endangering national security and labeled it a supply chain risk. Anthropic CEO Dario Amodei opposed the decision, citing concerns over potential misuse of the company's AI technology for mass surveillance or autonomous armed drones.
The ruling comes separately from a California federal judge's decision this summer, which found the Pentagon's punishment of Anthropic for criticizing its AI policies to be illegal. Anthropic spokespersons expressed disagreement with the court's decision, citing a previous ruling that deemed the Pentagon's designation unlawful. The company stated it remains confident in its position and will consider further legal options. The White House declined to comment on the matter.
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