Anthropic is suing the Department of Defense

"The federal government retaliated against a leading frontier AI developer for adhering to its protected viewpoint on a subject of great public significance - AI safety and the limitations of its own AI models - in violation of the Constitution and laws of the United States. Defendants are seeking to destroy the economic value created by one of the world's fastest-growing private companies, which is a leader in responsibly developing an emergent technology of vital significance to our Nation."

"The designation is typically not made public and often applies to foreign companies that could be a cybersecurity threat or other material risk to national security, rather than companies headquartered in the US. Anthropic's blacklisting raised eyebrows and caused significant bipartisan controversy due to fears that disagreeing with a current presidential administration could significantly affect a company's bottom line - and whether it was able to operate as a business altogether."

Anthropic filed a lawsuit against the US government, alleging illegal punishment for establishing ethical boundaries on military AI applications, specifically refusing to support mass domestic surveillance and fully autonomous weapons systems. The company was designated a supply-chain risk and faced a presidential order requiring all government agencies to discontinue using its technology within six months. Anthropic contends these actions violate First Amendment protections for speech on AI safety and Fifth Amendment rights. The designation is unusual for a US-headquartered company and sparked bipartisan concern about whether disagreement with the administration could economically harm or prevent companies from operating.

Read at The Verge