Microsoft says Anthropic’s products can stay on its platforms after lawyers ‘studied’ the Pentagon supply chain risk designation

Microsoft said Anthropic’s AI tools aren’t going anywhere on its platforms despite the Pentagon blacklisting the startup.

The Pentagon on Thursday formally told Anthropic that “the company and its products are deemed a supply chain risk, effective immediately.” Defense Secretary Pete Hegseth has said the designation effectively bars companies with defense contracts from doing business with Anthropic.

Anthropic has said it plans to challenge the decision in court.

The designation follows a dispute between the AI startup and the Pentagon over how its Claude models could be used. Anthropic has said it will not allow its technology to be deployed for mass domestic surveillance or fully autonomous weapons.

A Microsoft spokesperson told Business Insider on Thursday that the company’s “lawyers have studied the designation and have concluded that Anthropic products, including Claude, can remain available to our customers.”

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