President Donald Trump has directed all U.S. federal agencies to immediately cease using technology from Anthropic, the AI company behind the Claude model, marking a dramatic escalation in tensions between the administration and the San Francisco-based startup.
In a strongly worded post on Truth Social on February 27, 2026, Trump labeled Anthropic a “radical Left AI company” and accused it of attempting to “strong-arm” the Department of Defense (which he often refers to as the Department of War). He stated: “I am directing EVERY Federal Agency in the United States Government to IMMEDIATELY CEASE all use of Anthropic’s technology. We don’t need it, we don’t want it, and will not do business with them again!”
The move stemmed from a high-stakes dispute over military use of AI. The Pentagon had been negotiating a contract with Anthropic—potentially worth up to $200 million—to deploy Claude on classified networks. However, Anthropic refused to remove certain safeguards in its terms of service, insisting on prohibitions against using its technology for mass domestic surveillance of American citizens or for fully autonomous weapons systems capable of lethal action without human oversight.
When Anthropic did not meet a Friday deadline to allow unrestricted “lawful” military use, Defense Secretary Pete Hegseth designated the company a “supply chain risk to national security”—a label typically reserved for foreign adversaries or high-risk entities. This effectively blacklisted Anthropic from government business, with a six-month phase-out period granted for agencies (particularly the Pentagon) already relying on its tools.
Hours after Trump’s announcement and the Pentagon’s designation, rival company OpenAI—maker of ChatGPT—announced it had reached an agreement with the Department of Defense to provide its AI models for classified military networks. OpenAI CEO Sam Altman stated that the deal incorporated similar principles against autonomous killing systems and mass surveillance, aligning with the company’s red lines while satisfying the administration’s demands.
The swift pivot to OpenAI has fueled speculation about favoritism in the administration’s AI policy, especially given the competitive landscape among major players like OpenAI, Anthropic, Google, and others. Trump has not issued a formal executive order on the matter but used his direct authority via public directive and Pentagon action to enforce the ban on Anthropic.
Critics argue the move prioritizes unrestricted military access over AI safety concerns, while supporters view it as rejecting what they see as excessive corporate control over national security decisions. Anthropic has indicated it may challenge the designation legally, potentially setting up a courtroom battle over AI governance in government use.
This development highlights the growing intersection of AI innovation, national security, and political priorities in the current administration. As the phase-out begins, federal agencies are shifting toward alternatives—including OpenAI’s offerings—amid ongoing debates about the balance between technological power and ethical constraints.
SOURCES:
OpenAI Reaches A.I. Agreement With Defense Dept. After Anthropic Clash – The New York Times
Trump has ordered government agencies to stop using Anthropic AI tools
OpenAI announces Pentagon deal after Trump bans Anthropic : NPR
U.S. Strikes in Middle East Use Anthropic, Hours After Trump Ban
Trump bans AI firm Anthropic from federal agencies
OpenAI strikes deal with Pentagon after Trump orders government to stop using Anthropic
Trump Administration Shuns Anthropic, Embraces OpenAI in Clash Over Guardrails – WSJ
