Secretary of War Pete Hegseth has reportedly warned Anthropic that it could be removed from the Pentagon’s supply chain if the company does not commit by Friday to allowing its technology to be used in all lawful military applications.
Hegseth called Anthropic’s CEO, Dario Amodei, to Washington for a meeting on Tuesday, a development the Pentagon previously confirmed to Benzinga.
In the course of the tense discussions, the Secretary of War threatened to invoke the Defense Production Act (DPA) if Anthropic does not come around, the Financial Times reported late Tuesday. Invoking the DPA would enable the Pentagon to utilize Anthropic’s tools without an agreement.
This Act, a remnant from the Cold War era, allows the president to control domestic industry for national defense purposes. President Donald Trump and former President Joe Biden, both have invoked this Act to address the medical supplies shortage during the COVID-19 pandemic.
Anthropic’s potential removal from the Pentagon’s supply chain could lead to legal repercussions, sources told the publication. Such an action is typically reserved for firms linked to foreign adversaries, but in this case, it would also signal that Anthropic’s technology plays a critical role in Pentagon operations.
Hegseth is also in discussions with AI developers, including Google (NASDAQ:GOOGL) (NASDAQ:GOOG), OpenAI, and Elon Musk‘s xAI, as potential alternatives to Anthropic, according to the publication.
The Department of War and Anthropic did not immediately respond to Benzinga‘s requests for comment.
Anthropic, Pentagon Clash Over AI Red Lines
Anthropic’s refusal to permit its technology to be used for mass surveillance of Americans or the development of autonomous weapons has become a key point of friction with the Pentagon. While the AI start-up is open to easing its terms of service, it considers these terms as red lines. The Department of War, however, views those restrictions as overly limiting.
The company has raised concerns about its AI models being used in lethal missions without a human in the loop, arguing that current systems are not reliable enough for such roles, according to FT. The company has also advocated for new safeguards to restrict the use of AI in mass domestic surveillance, even when such activities are legally permitted.
Meanwhile, Amodei, in a podcast last week, expressed his discomfort with the rapid concentration of AI power and wealth among a small group of companies. He also warned that AI advancement is akin to an approaching “tsunami,” and that many people underestimate its impact.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors
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