Trump orders federal agencies to stop using Anthropic AI amid Pentagon dispute
Feb 28th 2026
President Trump ordered federal agencies to immediately stop using Anthropic products and gave a six-month phase-out as the Pentagon moves to label the AI firm a national security supply chain risk amid stalled contract talks over access to the Claude model.
- Trump posted on Truth Social directing federal agencies to "immediately cease" using Anthropic technology and announced a six-month phase-out.
- Defense Secretary Pete Hegseth said the Pentagon will label Anthropic a supply chain risk, barring military contractors from commercial activity with the company.
- The Pentagon delivered a final offer asking Anthropic to allow DOD access to its AI model Claude for "all lawful purposes," a condition Anthropic rejected.
- Anthropic said negotiations had made "virtually no progress" and that it could not accept language that would allow its safety safeguards to be disregarded.
- Anthropic’s usage policy bars Claude from being used for fully autonomous lethal weapons and mass domestic surveillance, which are central points of contention.
- A roughly $200 million contract between Anthropic and the Pentagon from last summer is now in jeopardy.
- The DOD has threatened to invoke the Defense Production Act, and Trump warned of potential civil and criminal consequences if Anthropic does not cooperate.