Anthropic sues Pentagon over 'supply chain risk' designation, citing free speech and due process violations — company refused to allow its AI to be used for autonomous attacks, mass surveillance

Anthropic has filed two lawsuits against the Pentagon over being designated a "supply chain risk," preventing its AI models from being used by Pentagon suppliers due to the company's refusal to allow its AI to be used for autonomous attacks and mass surveillance. The lawsuits allege violations of Anthropic's First Amendment and due process rights, seeking to overturn the designation and block its enforcement. The dispute arose from a contract renegotiation that collapsed when Anthropic refused to remove guardrails prohibiting the use of its models for fully autonomous weapons and mass domestic surveillance. The fallout has led to competitive consequences, with OpenAI striking a new Pentagon deal shortly after Anthropic's designation.