Anthropic Files Constitutional Challenge Against Pentagon's 'Risk' Designation

In a significant legal escalation, AI firm Anthropic has filed suit against the U.S. Department of Defense in a California federal court. The lawsuit challenges the government's recent designation of the company as a supply-chain risk, a move Anthropic claims is unconstitutional retaliation for its ethical policies.

The conflict stems from Anthropic's public refusal to allow its AI technology to be used for mass domestic surveillance or in fully autonomous weapon systems. Following this stance, the Trump administration applied the supply-chain risk label, which is more commonly used for foreign entities posing cybersecurity threats. President Trump subsequently issued an order directing all federal agencies to cease using Anthropic's technology within six months.

In its filing, Anthropic argues the government is punishing it for a protected viewpoint on AI safety, violating First and Fifth Amendment rights. The company contends the broad mandate to drop its services exceeds executive authority.

The designation has had immediate consequences. The General Services Administration terminated its OneGov contract with Anthropic, cutting off access for all three branches of federal government. Other agencies, including Treasury and State, are reportedly preparing to follow suit.

The case raises questions about the extent of administrative power over private firms that set ethical boundaries on technology use. While major commercial partners like Microsoft continue working with Anthropic, the company's standing with the federal government is now in legal limbo. The Pentagon declined to comment on the pending litigation.

Source: The Verge