Image: Bloomsbury Intelligence Security Institute
The Pentagon has given artificial intelligence giant Anthropic a deadline of Friday to comply with its demands on using its AI models, or face cancellation of its US military contract.
The ultimatum, delivered in a meeting yesterday morning between CEO Dario Amodei and Defense Secretary Pete Hegseth, follows several weeks of growing friction over how the military is using Claude, Anthropic’s flagship AI model.
Some quick background: The Defense Department and Anthropic agreed to a $200 million pilot contract last year. But a January 9 memo from Hegseth calling for AI companies to remove restrictions on their tech led to the current contract renegotiation.
Anthropic says it’s willing to loosen some restrictions on the US military using its AI models, but not all.
On the flip side: Pentagon officials argue Anthropic’s guardrails are too restrictive. They say companies working with the military should make their AI systems available for “all lawful purposes,” without any restrictions, to give the Pentagon the speed and flexibility needed to react in real-world defense scenarios—a deal clause other AI companies appear open to supporting.
US officials also contend that unrestricted access to the top AI tools will help America’s military maintain a competitive advantage against foreign adversaries like China.
Looking ahead…If Anthropic doesn’t show more flexibility, Hegseth says the US will not only pull the company’s military contract, but could also label them a “supply-chain risk”—forcing military contractors to stop using Claude—or invoke the Defense Production Act to essentially force Anthropic to work more collaboratively.
📊 Flash poll: Which side of the current disagreement over AI military usage do you support more: Anthropic or the US Defense Department?

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