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Anthropic on Friday hit back after U.S. Secretary of Defense Pete Hegseth directed the Pentagon to designate the artificial intelligence (AI) upstart as a "supply chain risk." "This action follows months of negotiations that reached an impasse over two exceptions we requested to the lawful use of our AI model, Claude: the mass domestic surveillance of Americans and fully autonomous weapons," the

Anthropic says it would be “legally unsound” for the Pentagon to blacklist its technology after talks over military use of its artificial intelligence models broke down.

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Pentagon has banned the start-up from government contracts in feud over military use of its technology

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US President Donald Trump (R) looks on as US Secretary of Defense Pete Hegseth speaks to the press following US military actions in Venezuela | AFP via Getty Images Nearly two hours after President Donald Trump announced on Truth Social that he was banning Anthropic products from the federal government, Secretary of Defense Pete Hegseth took it one step further and announced that he was now designating the AI company as a "supply-chain risk," which Anthropic says it is willing to challenge in court. The decision could immediately impact numerous major tech companies that use Claude in their line of work for the Pentagon, including Palantir and AWS. It is not immediately clear to what extent the Pentagon may blacklist companies that contract with Claude for other services outside of national security, A … Read the full story at The Verge.