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Anthropic Petitions Federal Court to Rehear Pentagon AI Blacklisting

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Artificial intelligence developer Anthropic PBC (NASDAQ:ANTHROPIC) has asked a federal appeals court in Washington, D.C., to rehear its appeal against a U.S. Department of Defense blacklisting. The request follows a September 2-1 decision by the D.C. Circuit that upheld the government's action.

The military agency designated Anthropic a national-security supply chain risk in March after negotiations failed regarding how military personnel could deploy the company's Claude AI models on the DOD's GenAI.mil platform. The designation blocks defense contractors from utilizing Anthropic technology in agency projects. Anthropic previously signed a $200 million contract with the Pentagon in July 2025, but talks stalled later that autumn.

Anthropic challenged the ban in court, arguing that the designation was unauthorized, arbitrary, and unconstitutional. Lawyers for the company also contend that judges overlooked evidence that the blacklisting was retaliation for Anthropic's public commentary on AI safety. The full appellate bench will now consider whether to grant a rehearing.

Key points

  • Anthropic PBC petitioned a federal court in Washington, D.C., to rehear its appeal against a Pentagon blacklisting.
  • The Pentagon designated Anthropic a national-security risk in March following a breakdown in AI deployment talks.
  • The blacklisting prevents defense contractors from using Anthropic's Claude models in Department of Defense work.
  • A D.C. Circuit panel upheld the Pentagon's decision in September by a 2-1 vote.
  • Anthropic argues the government action was retaliation for its statements regarding artificial intelligence safety.

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Questions and answers

Why is Anthropic asking a federal court for a rehearing?

Anthropic is seeking a rehearing after a D.C. Circuit panel upheld a Pentagon blacklisting that labels the company a national-security supply chain risk.

What caused the dispute between Anthropic and the Pentagon?

Negotiations collapsed over how military units could deploy Anthropic's Claude models on the Department of Defense's GenAI.mil platform, leading the agency to blacklist the firm in March.

How does the Pentagon blacklisting affect defense contractors?

The designation blocks defense contractors from using Anthropic's AI models in work conducted for the Department of Defense.