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Trump Terminates Federal Contracts With Anthropic

State of the Union: A dispute over military AI use prompted ban.
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President Donald Trump on Friday announced the decision to terminate all government contracts with AI company Anthropic, after that company refused to comply with a set of demands issued by the Department of War. Anthropic had sought assurances from the Pentagon that its AI models would not be used for fully autonomous weapons or mass surveillance against Americans.

Anthropic’s AI model Claude was used in the U.S. military operation that captured the former Venezuelan President Nicolás Maduro, the Wall Street Journal reported. 

“We don’t need it, we don’t want it, and will not do business with them again!” Trump wrote Friday on Truth Social, adding that Anthropic’s tools would be phased out of government work over the next six months.

“Anthropic’s stance is fundamentally incompatible with American principles,” Secretary of War Pete Hegseth wrote in a statement on X.

Sam Altman, the CEO of Open AI, responded to the news by announcing his company’s own agreement with the Pentagon for Open AI’s models to be deployed in the government’s classified network. 

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