WASHINGTON, Feb 28 (V7N) – President Donald Trump on Friday directed all federal agencies to immediately stop using Anthropic’s technology after the AI startup rejected Pentagon demands for unconditional military use of its Claude models.  

Anthropic vowed to sue over what it called “intimidation,” insisting its systems should not be deployed for mass surveillance of US citizens or in fully autonomous weapons. “No amount of intimidation or punishment from the Department of War will change our position,” the company said.  

The Pentagon argued suppliers cannot set terms on product use and threatened to compel compliance under the Defense Production Act, a Cold War-era law granting sweeping powers to direct private industry. Defense Secretary Pete Hegseth said contractors working with the US military must cut ties with Anthropic “effective immediately.”  

Trump posted on Truth Social: “I am directing EVERY Federal Agency… to IMMEDIATELY CEASE all use of Anthropic’s technology. We don’t need it, we don’t want it, and will not do business with them again!” He warned of “major civil and criminal consequences” if the company failed to cooperate during the phase-out.  

Anthropic said it would challenge any supply chain risk designation in court, warning of a “dangerous precedent.” The dispute has drawn industry solidarity, with employees from Google DeepMind and OpenAI signing an open letter backing Anthropic’s refusal to allow AI for mass surveillance or autonomous lethal weapons.  

OpenAI CEO Sam Altman told staff he was also seeking an agreement with the Pentagon that included similar red lines, stressing that humans should remain in the loop for high-stakes automated decisions.  

END/WD/RH