Victory for Anthropic: US court rules that its inclusion on the administration's blacklist is illegal
A federal court in San Francisco has ruled that the inclusion of AI company Anthropic on the Pentagon's blacklist was illegal. Judge Rita Lin determined that the administration violated the First Amendment.
A federal court in San Francisco ruled that the inclusion of the artificial intelligence company Anthropic on the Pentagon's blacklist earlier this year was illegal, as reported by CNBC.
Judge Rita Lin ruled that the Department of Defense violated the First Amendment to the Constitution when it defined Anthropic as a "supply chain risk"—a status previously reserved for foreign companies only—"to make an example of them."
In February, Anthropic was placed on the US government's blacklist and classified as a threat to US national security. This followed the company's refusal to allow the Pentagon to use its models for "all lawful uses," including mass surveillance of American citizens and the autonomous operation of weapons systems. The parties held negotiations that collapsed, and Anthropic became the first American company to be publicly labeled as a supply chain risk. This classification prohibited the use of its technology in work with government agencies.
Following this, Anthropic filed a lawsuit against the Trump administration in San Francisco and Washington, D.C. The Department of Defense relied on two different arguments to justify the step it took, which forced the legal battle to be conducted in two separate courts. Judge Lin's ruling is a victory for Anthropic, but the company's legal proceedings in Washington are still ongoing. Until that case is decided, the company is still technically defined as a supply chain risk.
Judge Lin wrote:
"The administration argued that due to 'Anthropic's hostile conduct in the media' and its criticism of the Department of Defense's positions regarding the use of artificial intelligence, it could not be sure that the company would ensure the reliability of its models. However, the Constitution and the federal law upon which the administration relies do not allow it to impose sweeping sanctions based primarily on the criticism that Anthropic voiced regarding the administration's positions."
According to her, "the empty reliance on national security is not a blank check that allows punishing and taking revenge on those who criticize the administration." The judge prohibited federal agencies from enforcing the administration's order to stop using Anthropic's tools and canceled the company's designation as a "supply chain risk." In March, the judge ordered a temporary stay of the sanctions, and now the order has become permanent.
Anthropic stated:
"We welcome the court's ruling that the classification as a supply chain risk was illegal. We are focused on working with the administration to harness artificial intelligence for our national security, so that all Americans benefit from this technology."
