US Defense Department Cuts Ties With Anthropic Over AI Restrictions

The U.S. Department of Defense has moved to remove Anthropic’s artificial-intelligence technology from its systems after designating the company a national-security supply-chain risk, escalating a dispute over how advanced AI should be used by the military.

The decision follows months of tension between the Pentagon and Anthropic over restrictions the company placed on military applications of its AI models. Anthropic has argued that its safeguards are intended to prevent uses such as mass surveillance and autonomous weapons, while U.S. defense officials have raised concerns that such restrictions could interfere with national-security operations.

A federal appeals court recently upheld the Pentagon’s designation of Anthropic as a supply-chain risk. The ruling allows the Defense Department to remove Anthropic’s Claude models from its systems and prevents their use in defense work.

The transition has not necessarily been immediate. Earlier in the year, the Pentagon was still using Anthropic’s Mythos cybersecurity technology to identify and patch software vulnerabilities while officials worked toward replacing the company’s technology.

The dispute also highlights a broader challenge facing governments as they adopt increasingly capable AI systems. Security agencies have continued to find value in Anthropic’s technology even as the Pentagon has sought to distance itself from the company. Reuters reported in July that the U.S. Cybersecurity and Infrastructure Security Agency was using Anthropic’s Mythos to audit government software.

For Anthropic, the Pentagon’s decision represents a significant setback in the government market. In a recent filing ahead of a potential public offering, the company warned that government actions and perceptions could affect its business relationships, revenue and reputation.

The confrontation is ultimately part of a larger debate over who should control the limits placed on powerful AI systems: technology companies developing the models or governments responsible for national security.