Dispute Escalation: US Department of Justice Seeks to Expel Anthropic from All Federal Agencies, Alleging Potential AI Shutdown in Wartime

According to 1M AI News monitoring, the U.S. Department of Justice on Tuesday filed documents with the court seeking to ban Anthropic from all federal agencies, expanding the dispute from the previous Department of Defense sole contract to the entire executive branch. The filing stated, "Due to national security concerns, Anthropic's AI technology service terms are no longer acceptable to the executive branch."

The Department of Justice revealed previously undisclosed negotiation details in the filing: in early 2026, the Department of Defense had requested to include a clause in the contract allowing the use of Anthropic technology for "any lawful purpose," which Anthropic rejected citing its Claude usage policy. Deputy Under Secretary of Defense for Research and Engineering Emil Michael stated in sworn documents that Anthropic exhibited "hostility" during negotiations, and its stance "appeared to be primarily for public relations rather than fact-based."

The most controversial segment in the document warned, "AI systems are highly manipulable; if Anthropic unilaterally determines its corporate red lines have been crossed, it may seek to deactivate its technology in the midst of ongoing wartime operations or prematurely alter model behavior." Anthropic had previously demanded assurances from the U.S. government that its AI would not be used for mass surveillance of American citizens or autonomous weapon deployment. An Anthropic spokesperson responded, saying they are reviewing the government's documents and reiterated that "seeking judicial review will not alter our long-standing commitment to using AI to safeguard national security." A hearing is scheduled for next Tuesday.