The Pentagon's Chief Technology Officer has ruled out negotiations with AI lab Anthropic, accusing its leadership of acting in bad faith. This follows the U.S. Department of Defense labeling Anthropic a supply-chain risk, effectively banning military and contractor use of its technology.
In response, Anthropic has sued the government, calling the action unlawful and stating it jeopardizes hundreds of millions in revenue. The dispute is significant as Anthropic had previously sought defense contracts, though its CEO has expressed that current AI is not accurate enough for weapons.
The company's investors are reportedly working to contain the fallout from the ban, with some joining OpenAI in expressing concern over the government's decision.
Main topics: U.S. Pentagon and Anthropic dispute, supply-chain risk designation, military AI technology ban, Anthropic's lawsuit and revenue concerns, investor reactions.
Pentagon Chief Technology Officer Emil Michael on Thursday ruled out negotiations with Anthropic after the agency labeled the AI lab a supply-chain risk in a dispute over restrictions on how the US military can âuse its technology.
"There's â no â chance. The (Anthropic) leadership has proven, through the leaking and through sort âof bad faith negotiation that they don't want to reach an âagreement," Michael said in an interview with CNBC.
Anthropic did not immediately respond to a Reuters request for comment.
Last âweek, the U.S. Department of â Defense labeled âAnthropic a supply-chain risk, a move âthat effectively âbans its technology from military use and â bars government contractors from deploying it in work âfor the US armed forces.
Anthropic sued the âTrump administration on Monday, calling the government's actions unlawful, and said the move will put hundreds of millions of dollars worth of revenue in jeopardy.
The dispute is notable in part because Anthropic aggressively âcourted the U.S. national security apparatus before most other AI companies.
CEO Dario Amodei has âsaid he âis not opposed â to AI-driven weapons, but believes the current generation of AI technology isn't good enough to be accurate.
Reuters has reported âthat Anthropic's investors were racing to contain the damage caused by the fallout with the Pentagon. A group, including OpenAI and some of these investors, expressed concern over the government's move.
"There's â no â chance. The (Anthropic) leadership has proven, through the leaking and through sort âof bad faith negotiation that they don't want to reach an âagreement," Michael said in an interview with CNBC.
Anthropic did not immediately respond to a Reuters request for comment.
Last âweek, the U.S. Department of â Defense labeled âAnthropic a supply-chain risk, a move âthat effectively âbans its technology from military use and â bars government contractors from deploying it in work âfor the US armed forces.
Anthropic sued the âTrump administration on Monday, calling the government's actions unlawful, and said the move will put hundreds of millions of dollars worth of revenue in jeopardy.
The dispute is notable in part because Anthropic aggressively âcourted the U.S. national security apparatus before most other AI companies.
CEO Dario Amodei has âsaid he âis not opposed â to AI-driven weapons, but believes the current generation of AI technology isn't good enough to be accurate.
Reuters has reported âthat Anthropic's investors were racing to contain the damage caused by the fallout with the Pentagon. A group, including OpenAI and some of these investors, expressed concern over the government's move.