Anthropic challenges Pentagon's national security decision in AI supply chain risk case

ET Enterprise AI

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Original article · فارسی

ETEnterpriseAI Desk

  • Published On Oct 14, 2026 at 09:09 AM IST
The AI company has said the Pentagon's decision to blacklist it has resulted in billions of dollars in lost business.
The AI company has said the Pentagon's decision to blacklist it has resulted in billions of dollars in lost business.

Anthropic on Tuesday asked a US appeals court to reconsider its ruling upholding the Pentagon's decision to designate the AI company a national security supply chain risk, following a dispute over safety restrictions on its technology, Reuters reported.

In September, a federal appeals court upheld the Pentagon's designation in a 2-1 ruling, agreeing that Anthropic's safety restrictions could potentially interfere with US military operations.

The AI company has said the Pentagon's decision to blacklist it has resulted in billions of dollars in lost business.

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The court's majority ruled that the Pentagon had acted reasonably after Anthropic refused to allow its AI technology to be used in autonomous weapons or mass surveillance. It also rejected the company's claim that the Defense Department had retaliated against it over its views on AI safety.

In its petition filed on Tuesday with the US Court of Appeals in Washington, DC, Anthropic argued that the majority had misinterpreted a federal law intended to address threats from hostile foreign actors, extending its scope to potentially cover all government contractors.

The company also argued that the court had allowed the Pentagon to take action without following a formal process before the designation, despite what Anthropic described as clear evidence of retaliation over its public stance on AI safety.

Separately, in August, a federal judge in California struck down a similar designation made under a different law.

  • Published On Oct 14, 2026 at 09:09 AM IST

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