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Artificial intelligence company Anthropic filed a lawsuit against the Trump administration Monday challenging the Pentagon's decision to label the company and its products as a "supply chain risk" after negotiations fell apart. |
© Don Feria, AP Content Services for Anthropic |
The suit, filed in federal court in California Monday, argues the designation as well as President Trump's order for all federal agencies to cease the use of Anthropic are "unprecedented and unlawful." The AI firm asked the court to reverse the Pentagon's decision, warning the "consequences of this case are enormous." The supply chain risk designation has typically been reserved for foreign adversaries and restricts defense contractors from using the company's products. "The Constitution does not allow the government to wield its enormous power to punish a company for its protected speech," the suit states. "No federal statute authorizes the actions taken here." Anthropic has taken to court as a "last resort," the company's lawyers said, alleging the federal government "retaliated" against the firm for "adhering to its protected viewpoint on a subject of great public significance — AI safety and the limitations of its own AI models." The company filed a separate suit in the federal appeals court in Washington, D.C. as well, requesting a review of the Pentagon's determination that Anthropic poses a supply chain risk to national security. The lawyers also accused the Trump administration of trying to "destroy" the economic value of the Anthropic. Anthropic, which was founded with a particular focus on safety, has provided the Pentagon and intelligence agencies with its technology since late 2024 through a partnership with Palantir. The company has sought to set itself apart from AI competitors, calling for transparency and basic guardrails on the technology's development. Read more in a full report at TheHill.com |
Welcome to The Hill's Technology newsletter, I'm Julia Shapero — tracking the latest moves from Capitol Hill to Silicon Valley. |
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News we've flagged from the intersection of tech and other topics: |
- Dozens of OpenAI, Google DeepMind employees file statement of support in Anthropic suit (TechCrunch)
- OpenAI to buy cybersecurity startup Promptfoo (CNBC)
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