Nearly 150 retired judges have stepped into a high-stakes legal battle, backing Anthropic as it challenges a U.S. defense designation that could damage its broader business.
Pentagon Blacklists Anthropic As ‘Supply Chain Risk‘
In a legal brief filed Tuesday, 149 retired federal and state judges argued that the Defense Department improperly labeled Anthropic a “supply chain risk,” reported Business Insider.
They said the agency “misinterpreted the statute and ignored the necessary procedures.”
The judges emphasized that Anthropic is not attempting to secure defense contracts.
“No one is trying to force the Department to contract with Anthropic,” they wrote.
They added, “Instead, Anthropic is asking only that it not be punished on its way out the door.”
The dispute stems from actions taken under President Donald Trump, who ordered federal agencies to stop using the company’s technology, calling it a “radical left AI company.”
Defense Secretary Pete Hegseth further urged military contractors and partners to avoid any commercial ties with Anthropic, citing national security concerns.
Anthropic has pushed back, saying the designation is legally unsound and warning it could set a dangerous precedent.
Its legal team has also argued the move is causing “real and irreparable harm,” including pressure on customers to switch to competing AI providers.
Anthropic Claude AI Drives Growth And Productivity
Earlier this month, U.S. Central Command reportedly used Anthropic’s Claude AI in a Trump-era air operation against Iran, despite a federal ban, supporting intelligence and target planning.
Claude had also aided prior high-profile missions, including capturing Venezuelan President Nicolás Maduro.
Anthropic’s rapid revenue growth boosted Amazon Web Services, with annualized revenue hitting $19 billion and strong enterprise and consumer adoption of Claude models.
Last year, Anthropic found that Claude increased employee productivity and enabled new projects, but reduced collaboration and raised concerns about skill erosion and long-term job relevance.
Employees reported delegating repetitive tasks to AI, yet some feared the technology could eventually make their roles less essential.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
Photo courtesy: Shutterstock
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