Defense secretary Pete Hegseth designates Anthropic a supply chain risk - The Verge
U.S. Secretary of Defense Pete Hegseth has designated AI company Anthropic a "supply-chain risk," banning military contractors from working with it following a dispute over its use for Pentagon purposes. The decision came after negotiations over Anthropic's policies, with Hegseth asserting that the company attempted to exert control over military operations and opposing unrestricted access to its models for defense purposes. This designation and ban are expected to impact contractors like Palantir and AWS, and mark a significant shift in the Pentagon's stance toward the company amidst concerns over AI usage and national security.
Nearly two hours after President Donald Trump announced on Truth Social that he was banning Anthropic products from the federal government, Secretary of Defense Pete Hegseth took it one step further and announced that he was now designating the AI company as a “supply-chain risk”.
Defense secretary Pete Hegseth designates Anthropic a supply chain risk
Military suppliers and contractors are banned from working with Anthropic as its Pentagon AI standoff continues.
Military suppliers and contractors are banned from working with Anthropic as its Pentagon AI standoff continues.
US President Donald Trump (R) looks on as US Secretary of Defense Pete Hegseth speaks to the press following US military actions in Venezuela
RegulatorThe decision could immediately impact numerous major tech companies that use Claude in their line of work for the Pentagon, including Palantir and AWS. It is not immediately clear to what extent the Pentagon may blacklist companies that contract with Claude for other services outside of national security.
After a week of tense negotiations over the company’s acceptable use policies, the Pentagon gave Anthropic an ultimatum: agree by Friday, 5:30 PM EST, to let the Pentagon use Claude for “all legal purposes,” including for autonomous lethal weapons without human oversight and mass surveillance, or be designated a supply-chain risk. The designation, which is typically used for companies with ties to foreign governments that pose national security risks to the United States, will bar any company that uses Anthropic products from working with the Department of Defense.
In a tweet posted just after 5PM ET, Hegseth broadened the designation to encompass companies doing “any commercial activity with Anthropic,” reiterating Trump’s mandate that companies had six months to divest themselves from Anthropic products.
“Our position has never wavered and will never waver: the Department of War must have full, unrestricted access to Anthropic’s models for every LAWFUL purpose in defense of the Republic,” he wrote. “Instead, @AnthropicAI and its CEO @DarioAmodei have chosen duplicity. Cloaked in the sanctimonious rhetoric of ‘effective altruism,’ they have attempted to strong-arm the United States military into submission - a cowardly act of corporate virtue-signaling that places Silicon Valley ideology above American lives.”
Hegseth, as Secretary of Defense, has the ability to label a company a “supply-chain risk” at his own discretion. But the decision comes after the Pentagon made several other attempts to compel Anthropic to let them use Claude as they wished, including the threat to invoke the Defense Production Act.
Secretary of Defense Pete Hegseth:
This week, Anthropic delivered a master class in arrogance and betrayal as well as a textbook case of how not to do business with the United States Government or the Pentagon.
Our position has never wavered and will never waver: the Department of War must have full, unrestricted access to Anthropic’s models for every LAWFUL purpose in defense of the Republic.
Instead, @AnthropicAI and its CEO @DarioAmodei, have chosen duplicity. Cloaked in the sanctimonious rhetoric of “effective altruism,” they have attempted to strong-arm the United States military into submission - a cowardly act of corporate virtue-signaling that places Silicon Valley ideology above American lives.
The Terms of Service of Anthropic’s defective altruism will never outweigh the safety, the readiness, or the lives of American troops on the battlefield.
Their true objective is unmistakable: to seize veto power over the operational decisions of the United States military. That is unacceptable.
As President Trump stated on Truth Social, the Commander-in-Chief and the American people alone will determine the destiny of our armed forces, not unelected tech executives.
Anthropic’s stance is fundamentally incompatible with American principles. Their relationship with the United States Armed Forces and the Federal Government has therefore been permanently altered.
In conjunction with the President’s directive for the Federal Government to cease all use of Anthropic’s technology, I am directing the Department of War to designate Anthropic a Supply-Chain Risk to National Security. Effective immediately, no contractor, supplier, or partner that does business with the United States military may conduct any commercial activity with Anthropic. Anthropic will continue to provide the Department of War its services for a period of no more than six months to allow for a seamless transition to a better and more patriotic service.
America’s warfighters will never be held hostage by the ideological whims of Big Tech. This decision is final.
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