AI contracts with Pentagon

Anthropic won’t budge as Pentagon escalates AI dispute

Rebecca Bellan

1:18 PM PST · February 24, 2026Image Credits:Stefan Wermuth/Bloomberg / Getty Images

Anthropic has until Friday evening to either give the U.S. military unrestricted access to its AI model or face the consequences, reports Axios.

Defense Secretary Pete Hegseth told Anthropic CEO Dario Amodei in a meeting Tuesday morning that the Pentagon will either declare Anthropic a “supply chain risk” — a designation usually reserved for foreign adversaries — or invoke the Defense Production Act (DPA) to force the company to tailor a version of the model to the military’s needs.

The DPA gives the president the authority to force companies to prioritize or expand production for national defense. It was recently invoked during the COVID-19 pandemic to compel companies like General Motors and 3M to produce ventilators and masks, respectively.

Anthropic has long stated that it doesn’t want its technology used for mass surveillance of Americans or for fully autonomous weapons — and is refusing to compromise on these points.

Pentagon officials have argued the military’s use of technology should be governed by U.S. law and constitutional limits, not by the usage policies of private contractors. 

Using the DPA in a dispute over AI guardrails would mark a significant expansion of the law’s modern use. It would also reflect an expansion of a broader pattern of executive branch instability that has intensified in recent years, according to Dean Ball, senior fellow at the Foundation for American Innovation and former senior policy advisor on AI in Trump’s White House. 

“It would basically be the government saying, ‘If you disagree with us politically, we’re going to try to put you out of business,’” Ball said. 

https://techcrunch.com/2026/02/24/anthropic-wont-budge-as-pentagon-escalates-ai-dispute/

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About borderslynn

Retired, living in the Scottish Borders after living most of my life in cities in England. I can now indulge my interest in all aspects of living close to nature in a wild landscape. I live on what was once the Iapetus Ocean which took millions of years to travel from the Southern Hemisphere to here in the Northern Hemisphere. That set me thinking and questioning and seeking answers. In 1998 I co-wrote Millennium Countdown (US)/ A Business Guide to the Year 2000 (UK) see https://www.abebooks.co.uk/products/isbn/9780749427917
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