In a court showdown, District Judge Rita Lin ruled that the Department of Defense’s decision to label AI startup Anthropic a supply‑chain risk was illegal and baseless.
The lawsuit claimed that Defense Secretary Pete Hegseth overstepped his authority by forbidding the military from using Anthropic’s AI models for surveillance or weapons. Judge Lin said that citing national security “is not a blank check to punish and retaliate against government critics.”
The decision marks the first time an American company has been publicly designated as a supply‑chain risk. Anthropic welcomed the outcome, stressing its intent to collaborate with the government to harness AI for national security while respecting civil rights.
Judge Lin also noted that the Pentagon had tried to “cripple” Anthropic, criticizing its refusal to adopt new contract terms. She called the action a classic example of First Amendment retaliation. The ruling prohibits the Pentagon from ordering other firms to boycott Anthropic.














