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Pentagon designates Anthropic as a supply-chain risk

The Pentagon has officially designated Anthropic, an American artificial intelligence company, as a "supply-chain risk," a decision that escalates ongoing tensions between the government and the company regarding the use of its AI program, Claude. This marks a significant moment, as it is the first instance of an American firm receiving such a label, which is typically reserved for foreign entities linked to adversarial governments.

The conflict stems from Anthropic's refusal to permit the Pentagon to utilize Claude for two specific applications: autonomous lethal weapons without human oversight and mass surveillance. The Pentagon contends that Anthropic's stipulations for government usage would grant excessive control to a private entity, while Anthropic remains concerned about the government's commitment to respecting its operational boundaries.

The situation intensified after weeks of unsuccessful negotiations, public ultimatums, and threats of legal action. Following Anthropic's announcement that it would not comply with the Pentagon's demands, Defense Secretary Pete Hegseth confirmed the supply-chain risk designation. This decision prohibits defense contractors from collaborating with the government if they incorporate Claude into their products.

Hegseth indicated that any commercial activity involving Anthropic could lead to the cancellation of defense contracts, a position that Anthropic has challenged as potentially illegal. A six-month deadline has been set for Anthropic to remove Claude from government systems. Complicating matters, the recent use of Claude-powered intelligence during a military operation against Iran has raised questions about the feasibility of such a removal.

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