The artificial intelligence company Anthropic has filed legal action against the U.S. Department of Defence and other federal agencies to block and overturn a Pentagon decision that labelled it a “supply‑chain risk”, a designation that could bar military contractors from using its AI technology.
Anthropic filed two separate lawsuits on Monday-one in a federal district court in California and another in the U.S. Court of Appeals in Washington, D.C.- challenging the government’s move as “unprecedented and unlawful.”
In court filings, Anthropic argues the designation is retaliatory and violates its constitutional rights, including free speech and due process:
“The Constitution does not allow the government to wield its enormous power to punish a company for its protected speech,” the company’s complaint says, adding that no federal statute authorises such a supply‑chain designation against an American firm.
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The dispute stems from a public disagreement between Anthropic and the Pentagon over how its AI model, Claude, can be used. Anthropic resisted requests to remove safety guardrails preventing Claude’s use in fully autonomous weapons or mass domestic surveillance, and officials countered that the military must be able to use technology for all lawful purposes without restrictions.
The Pentagon’s designation, historically reserved for companies tied to foreign adversaries, has raised concerns about its impact on Anthropic’s business and broader implications for U.S. AI policy. Anthropic and some industry voices say the label threatens to derail billions of dollars in current and future government work.
The Defence Department declined to comment on the lawsuits, citing its policy of not discussing ongoing litigation.
Anthropic says its legal action aims to undo the designation, block its enforcement, and prevent federal agencies from requiring contractors to sever ties with the company -while still continuing dialogue with the government over how its technology can support national security.
Court proceedings will determine whether the Pentagon’s supply‑chain risk designation stands and, if overturned, how U.S. federal agencies may use such authority in future technology disputes.
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