I spent two years at the Federal Trade Commission, watching regulators doing their best to keep pace with Silicon Valley. I thought I had seen the outer limits of how distorted Big Tech’s command over government policy could be; I did not think it could get worse. I was wrong.
Last month, Anthropic refused to allow the Defense Department to use Claude, the company’s popular flagship family of AI assistants, for domestic mass surveillance and lethal autonomous warfare. In response, the government canceled its $200 million contract with Anthropic. According to the Department, the company’s constraints would undercut its ability to defend the country from real threats.
The Pentagon designated the company a “supply-chain risk” because, according to Secretary of Defense Pete Hegseth, the company’s “woke” approach threatens national security. This move will not significantly impact Anthropic because most of the company’s business comes from nongovernmental partners and clients. But it matters; the company stands to lose hundreds of millions of dollars.
Anthropic has accordingly sued. As it should. It alleges that, among other things, the Department’s designation is based on the company’s protected views about AI safety. This, it argues, violates the First Amendment. A court has so far upheld the designation while briefing continues.






