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World·National security

D.C. Circuit, 2-1, upholds Pentagon’s supply-chain-risk designation of Anthropic

Published , Friday, September 25, 2026 · Updated
In the 2 PM CT update

World Brief Now headline card: D.C. Circuit upholds Pentagon supply-chain-risk designation of Anthropic
Graphic: World Brief Now

A divided U.S. Court of Appeals for the D.C. Circuit on Friday upheld the Defense Department’s designation of AI firm Anthropic as a supply-chain risk, rejecting the company’s claim that the ban on its Claude models was arbitrary, unauthorized and unconstitutional, CNBC and the Washington Examiner reported. Judge Gregory Katsas, joined by Judge Neomi Rao — both Trump appointees — wrote that the Department had "ample support" for concluding that continued integration of Claude into Defense systems presented a covered national-security risk; Judge Karen LeCraft Henderson dissented. The designation, issued in March after talks collapsed over Pentagon demands for unfettered lawful use versus Anthropic’s refusal to allow fully autonomous weapons or mass domestic surveillance, blocks military and defense-contractor use of Claude. A San Francisco federal judge previously found a parallel designation unlawful; Anthropic said it is considering further review, including possible Supreme Court review.

Sources
  • CNBCU.S. appeals court upholds Pentagon designation of Anthropic as supply chain risk
  • The Washington ExaminerFederal appeals court upholds Pentagon’s supply-chain-risk designation of Anthropic

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