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The US government has officially labeled the American AI firm Anthropic a "supply chain risk," marking the first time a domestic company has received this designation. The Pentagon’s decision is an escalation in a dispute over Anthropic's refusal to grant the government unrestricted access to its AI technology. The company has cited concerns that its tools could be used for mass surveillance and the development of autonomous weapons.
In a statement, a senior Pentagon official said the supply chain risk designation was "effective immediately."
Anthropic has previously said it would sue the Pentagon over such a designation.The AI developer had been in talks with the Department of Defense in recent days, even after their negotiations spilled into public view last week, sources familiar with discussions said.
A Pentagon official said: "From the very beginning, this has been about one fundamental principle: the military being able to use technology for all lawful purposes."
"The military will not allow a vendor to insert itself into the chain of command by restricting the lawful use of a critical capability and putting our warfighters at risk."
President Donald Trump announced on Friday that he would order federal agencies to immediately cease using technology from AI developer Anthropic. In a Truth Social post, Trump stated, "We don't need it, we don't want it, and will not do business with them again!"
