The Pentagon and Anthropic are in a direct fight over how artificial intelligence can be used by the U.S. military. The conflict centers on safeguards that would block the government from using AI to target weapons on its own or to run surveillance inside the United States. The disagreement sits inside a contract valued at up to $200 million and has now stalled talks. This dispute has become an early test of how much influence Silicon Valley really has in Washington after years of tension. Defense and intelligence officials want freedom to deploy stronger AI tools in combat and security work. Tech leaders want limits. The talks have dragged on for months and have now hit a wall. Pentagon presses ahead as Anthropic pushes back on weapons use After long negotiations, the U.S. Department of Defense and Anthropic are stuck. Six people briefed on the talks said neither side has moved. The clash has grown sharper under President Donald Trump’s second term, with disagreements inside the administration now spilling into public view. In a statement, Anthropic said its technology is “extensively used for national security missions by the U.S. government and we are in productive discussions with the Department of War about ways to continue that work.” At the same time, company representatives told officials they worry the tools could be used to spy on Americans or help weapons strike targets without enough human control. Pentagon leaders rejected those limits. They pointed to a January 9 memo on AI strategy that says the military should be free to use commercial AI systems as long as the law is followed. Officials said private rules should not decide battlefield choices. Even so, the Pentagon still needs Anthropic to move forward. The models are built to avoid actions that could cause harm. Company engineers would have to adjust the systems before the military could use them the way it wants. The standoff puts Anthropic’s defense business at risk during a sensitive moment. The San Francisco startup is preparing for a future public offering. It has spent heavily to win U.S. national security work and to shape federal AI policy from the inside. Anthropic is also one of only a few firms the Pentagon selected last year. Others include Google, Elon Musk’s xAI, and OpenAI . These companies now sit at the center of U.S. military AI plans. Caution from Anthropic has caused friction with the Trump administration before. In a blog post this week, CEO Dario Amodei warned that AI should support national defense “in all ways except those which would make us more like our autocratic adversaries.” Dario has also spoken out on government force at home. After fatal shootings of U.S. citizens during immigration protests in Minneapolis, he described the deaths as a “horror” in a post on X. The smartest crypto minds already read our newsletter. Want in? Join them .
