US appeals court declines to block Pentagon's blacklisting of Anthropic

A federal appeals court on Friday decided not to block a Pentagon order that blacklisted AI startup Anthropic from government contracts, labeling the company a national security risk. Anthropic had challenged this designation in a lawsuit, claiming it had resulted in billions of dollars in lost business and damaged its reputation ahead of an anticipated initial public offering. The designation had previously been halted by a judge in a separate legal challenge in California federal court.