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CNBC·4 min read·hard

Judge blocks Pentagon blacklist of Anthropic as supply chain risk - CNBC

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Ashley Capoot
Judge blocks Pentagon blacklist of Anthropic as supply chain risk - CNBC
AI Summary

A federal judge ruled that the Pentagon's blacklisting of AI company Anthropic as a supply chain risk was illegal and violated the First Amendment. The court found the government lacked an articulable basis for the designation, which stemmed from disagreements over AI usage policies.

Why it matters

This ruling sets a significant legal precedent regarding the government's power to blacklist private technology companies based on political disagreements or public criticism.

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A San Francisco federal judge on Thursday ruled that the Pentagon's blacklisting of artificial intelligence giant Anthropic earlier this year was illegal.

U.S. District Judge Rita Lin found that the Department of Defense violated the First Amendment by designating Anthropic a supply chain risk "based on a desire to make a public example" out of the company. Lin wrote that while the government is owed deference on matters of national security, its actions were not founded on any "articulable basis."

"Defendants claim that because of Anthropic's 'increasingly hostile manner through the press' and its criticism of the Department of War's views on AI use, Defendants 'cannot trust Anthropic to ensure the integrity of its models,' " Lin wrote in her order. "Neither the Constitution nor the federal statute invoked by Defendants allows them to impose sweeping penalties based principally on Anthropic's critique of the Administration's views."

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