Appeals court rebuffs Anthropic in latest round of its AI battle with the Trump administration

Appeals court rebuffs Anthropic in latest round of its AI battle with the Trump administration

AP News nation

Key Points:

  • A federal appeals court in Washington, D.C., refused to block the Pentagon from blacklisting AI lab Anthropic, contrasting with a prior ruling in San Francisco that favored the company.
  • Anthropic sued in both courts, alleging the Trump administration engaged in retaliation by labeling it a national security risk to limit its AI technology's military use.
  • In San Francisco, a judge ruled the administration overstepped by branding Anthropic a supply chain risk, leading to the removal of such labels and allowing continued use of its AI tools by government contractors.
  • The Washington appeals court acknowledged potential irreparable harm to Anthropic but declined to revoke the Pentagon’s actions, citing unclear financial damage and pending further evidence.
  • Industry leaders warn that conflicting court rulings create uncertainty for U.S. AI firms competing globally, amid ongoing legal proceedings scheduled for May 19.

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