Court rules Trump can blacklist Anthropic for refusing to enable Claude features

A U.S. appellate court upheld the Trump administration’s decision to blacklist Anthropic after the company refused to enable certain features of its Claude AI model. The ruling, issued by the District of Columbia Circuit with a 2‑to‑1 vote, affirmed that the government has the authority to sanction Anthropic even when the firm did not act with malicious intent. The judges highlighted the difficulty of regulating the military use of such powerful technology, warning that both overly restricted and uncontrolled models could lead to critical failures in combat operations or produce “hallucinations” that misidentify targets. The court also noted that the Secretary of Defense, together with the president, must balance opposing risks, and ruled that the measure does not violate the Supply‑Chain Security legislation or the Constitution, rejecting Anthropic’s requests for review. In April, the same court had denied an emergency stay petition filed by the company.

This ruling is significant because it establishes a legal precedent regarding the executive’s reach to regulate AI technologies deemed strategic, potentially shaping future disputes between regulators and AI developers. It also affects the availability of certain AI capabilities for both civilian and military use, creating uncertainty within the technology sector.

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