Anthropic gets its first court win over the Pentagon’s supply chain risk label

A federal judge ruled that the Trump administration's designation of Anthropic as a national security risk was illegal and retaliatory. The court found the government lacked evidence for the supply chain risk label and violated the company's due process rights.
Why it matters
This ruling sets a significant legal precedent regarding the government's power to blacklist AI companies based on political disagreements over safety guardrails and military use.
A federal judge in California ruled on Thursday evening that the Trump administration’s designation of Anthropic as a supply chain risk was illegal.
U.S. District Judge Rita Lin said in her ruling that Defense Secretary Pete Hegseth’s labeling of Anthropic as a risk to national security signified “unlawful retaliation” in violation of the First Amendment, and said the decision was “arbitrary and capricious.” Lin also said Anthropic was denied due process, as required under the Fifth Amendment.
Earlier this year, Hegseth and President Donald Trump labeled Anthropic a supply-chain risk and ordered all federal agencies, even those outside of defense, to stop working with the Claude maker.
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