A federal appeals court ruled 2-1 that the Trump administration can blacklist AI firm Anthropic from all Pentagon contracts. The D.C. Circuit Court of Appeals found that the Defense Department had good reason to consider Anthropic's AI products a supply chain risk due to code restricting certain tasks. The decision expands the executive branch's authority to designate US businesses as national security risks. Anthropic has stated it will not allow its products to be used for autonomous weapons.
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