Anthropic Rejected Pentagon’s $200M Ultimatum — “We Cannot in Good Conscience” Drop AI Safety Rules

GigaNectar Team

Dario Amodei, CEO and co-founder of Anthropic, speaking on stage at TechCrunch Disrupt 2023 in San Francisco, California
Anthropic vs. Pentagon: The AI Safeguards Standoff — Full Story
⚠ AI & National Security — Feb 27, 2026
Two Red Lines and a $200 Million Standoff

Anthropic built Claude to be helpful, harmless, and honest — and it placed two limits on that helpfulness: Claude would not be used for mass surveillance of Americans, and it would not be deployed in fully autonomous weapons systems. Those two limits are now the centre of a public standoff between the company and the U.S. Department of Defense.

Claude holds a distinction no other AI model has: it is the first large language model to be deployed on the U.S. military’s classified network. That deployment came with a contract worth $200 million. On Tuesday, February 24, 2026, Defense Secretary Pete Hegseth summoned Anthropic CEO Dario Amodei to the Pentagon and issued a direct ultimatum — remove the restrictions and allow Claude to be used “for all lawful purposes,” or lose the contract. The Pentagon also threatened to designate Anthropic a “supply chain risk,” a label the U.S. government typically reserves for companies connected to foreign adversaries.

Dario Amodei, co-founder and CEO of Anthropic, speaking onstage at TechCrunch Disrupt 2023 at the Moscone Center in San Francisco on September 20, 2023 — months before his public standoff with the Pentagon over Claude’s use in U.S. military operations. Photo Source: Kimberly White / Getty Images for TechCrunch, via Wikimedia Commons (CC BY 2.0)

Amodei refused. By Thursday, February 26, he published a detailed statement holding Anthropic’s position. The Pentagon had set a hard deadline of 5:01 p.m. ET on Friday, February 27. Anthropic did not move.

We cannot in good conscience accede to their request.

— Dario Amodei, CEO, Anthropic (February 26–27, 2026)

Unfolding in the same week — and reported separately by TIME on February 23, 2026 — was a major internal change at Anthropic. The company overhauled its Responsible Scaling Policy (RSP), scrapping the original 2023 commitment to halt AI training if safety measures were not already in place. The two developments — a public stand on usage limits and a quiet revision of internal safety commitments — ran just days apart, offering a fuller picture of where Anthropic stands heading into 2026. For context on the broader AI chip and compute race shaping these decisions, see our coverage of the Nvidia earnings, tariffs, and Claude Code security story.

The Numbers Behind the Dispute
$200M
Pentagon contract value at risk of cancellation
$380B
Anthropic post-money valuation, Series G (Feb 2026)
$30B
Series G raise closed February 2026
10×
Annualised revenue growth rate reported by Anthropic
2
Restrictions Anthropic refused to remove
5:01 PM
Pentagon hard deadline — Friday Feb 27, 2026 ET
How the Standoff Unfolded

A chronological look at every key event — hover or tap each card for detail.

September 2023
Anthropic Publishes RSP v1.0
Anthropic releases its original Responsible Scaling Policy, committing never to train a new AI model unless safety measures were already proven adequate — a binding internal pledge tied to commercial release.
2025
Claude Enters Classified Military Networks
Claude becomes the first large language model deployed on the U.S. Department of Defense’s classified network, under a contract reported at $200 million — a first for commercial AI in U.S. national security infrastructure.
September 2025
Anthropic Series F: $183B Valuation
Anthropic closes a $13 billion Series F, valuing the company at $183 billion post-money — up from $61.5 billion at its March 2025 round.
February 11–12, 2026
Series G: $30B Raised, $380B Valuation
Anthropic closes a $30 billion Series G led by GIC and Coatue, reaching a $380 billion post-money valuation.
February 23–24, 2026
RSP v3.0 Published
Anthropic publishes RSP Version 3.0, overhauling the original policy and removing the hard training-halt commitment. TIME’s exclusive on the change is published February 23, 2026. See our AI infrastructure report for related context.
February 24, 2026 — Tuesday
Hegseth Issues the Ultimatum
Defense Secretary Pete Hegseth meets Amodei at the Pentagon — described publicly as “not a friendly meeting.” He demands Claude be used “for all lawful purposes.” Three threats are issued: contract cancellation, supply chain risk designation, and potential use of the Cold War-era Defense Production Act.
February 26, 2026 — Thursday
Deadline Posted; Amodei Publishes Response
Pentagon spokesman Sean Parnell posts the 5:01 p.m. Friday deadline publicly. Amodei refuses to comply, calling the Pentagon’s two threats “inherently contradictory.” Anthropic staff express public support on X. Workers from OpenAI and Google sign an open letter backing Anthropic. Ret. Lt. Gen. Jack Shanahan voices sympathy for Amodei’s position.
February 27, 2026 — Friday
5:01 PM Deadline — Anthropic Holds Position
The Pentagon’s deadline passes. Anthropic maintained its two restrictions. Amodei stated the company would “work to enable a smooth transition to another provider” if the DoD proceeded with cancellation.
The Stakes — Each Side, Explained

Tap a perspective to see what was at risk — and why each position was held.

Anthropic’s Position & What Was at Risk

  • What it refused: Removing two specific restrictions — no mass surveillance of Americans, no fully autonomous weapons use.
  • Direct financial risk: A $200 million contract — significant in absolute terms, but modest against a $380 billion valuation and annualised revenue growing at 10× per year.
  • Bigger exposure — supply chain label: Being classified a “supply chain risk” could disrupt commercial partnerships far beyond the single DoD contract.
  • Talent and trust: Amodei argued capitulating would erode trust from safety-focused researchers who chose Anthropic specifically for its stated values.
  • No operational disruption claimed: Amodei stated the two restrictions had not slowed “adoption and use of our models within our armed forces to date.”
  • For context on Claude’s commercial rise, see our Claude Code and AI chip coverage.

The Pentagon’s Demands & Leverage

  • Core demand: Use Claude “for all lawful purposes” — without a private company imposing restrictions on military decision-making.
  • Three tools of pressure: Contract cancellation; supply chain risk designation; and potential invocation of the Defense Production Act — a Cold War-era law that could compel access to the technology.
  • Pentagon’s stated position: DoD spokesman Sean Parnell wrote the military has “no interest in using AI to conduct mass surveillance of Americans (which is illegal)” and does not want “autonomous weapons that operate without human involvement.” Critics noted this directly contradicted the demand for unrestricted use.
  • Parallel strategy: The Pentagon was simultaneously negotiating with OpenAI and Google for the same terms. An open letter from AI workers warned companies were being played against each other.
  • Contradictory threats: Amodei pointed out that designating Anthropic a security risk while simultaneously invoking emergency powers to gain access to Claude’s capabilities are logically incompatible positions.

What the AI Industry Watched Closely

  • OpenAI, Google, and Elon Musk’s xAI all hold separate military AI contracts and were in parallel negotiations with the Pentagon for the same concessions.
  • Workers from OpenAI and Google signed a public open letter backing Anthropic — an unusual cross-company statement on an active commercial dispute.
  • The open letter stated: “The Pentagon is negotiating with Google and OpenAI to try to get them to agree to what Anthropic has refused. They’re trying to divide each company with fear that the other will give in.”
  • The dispute re-opened the 2018 Project Maven debate, where Google ultimately declined to renew its contract after employee protests and pledged not to use AI in weaponry.
  • Explore the broader AI infrastructure investment race for the commercial backdrop to these negotiations.

Wider Concerns Raised

  • The two contested use cases are distinct: mass surveillance raises civil liberties concerns; fully autonomous weapons raise questions about human oversight of lethal force.
  • Ret. Lt. Gen. Jack Shanahan — inaugural director of the DoD’s Joint Artificial Intelligence Center (JAIC) — stated LLMs are “not ready for prime time in national security settings,” specifically for autonomous weapons. He called Anthropic’s red lines “reasonable.”
  • Chris Painter of METR (an AI model evaluation nonprofit) warned the RSP v3.0 shift shows Anthropic “believes it needs to shift into triage mode with its safety plans, because methods to assess and mitigate risk are not keeping up with the pace of capabilities.”
  • Painter added: “This is more evidence that society is not prepared for the potential catastrophic risks posed by AI.”
  • The Trump administration has resisted federal AI regulation — no binding national AI law is in place. Open-source AI ecosystem initiatives represent one alternative governance direction being explored.
What Key Figures Said

Direct quotes from official statements, blog posts, and verified social media posts only.

Those latter two threats are inherently contradictory: one labels us a security risk; the other labels Claude as essential to national security.

Dario Amodei CEO, Anthropic — public statement, Feb 26, 2026 Anthropic

It’s a shame that @DarioAmodei is a liar and has a God-complex. He wants nothing more than to try to personally control the US Military and is ok putting our nation’s safety at risk.

Emil Michael Undersecretary for Research & Engineering, DoD — post on X Pentagon

Since I was square in the middle of Project Maven & Google, it’s reasonable to assume I would take the Pentagon’s side here. Yet I’m sympathetic to Anthropic’s position. More so than I was to Google’s in 2018.

Ret. Lt. Gen. Jack Shanahan Inaugural Director, DoD Joint AI Center (JAIC) — social media post Independent

Painting a bullseye on Anthropic garners spicy headlines, but everyone loses in the end.

Ret. Lt. Gen. Jack Shanahan Inaugural Director, DoD JAIC — social media post, Feb 26, 2026 Independent

This is more evidence that society is not prepared for the potential catastrophic risks posed by AI.

Chris Painter Director of Policy, METR — statement to TIME Independent

Time and time again over my three year tenure at Anthropic I’ve seen us stand to our values in ways that are often invisible from the outside. This is a clear instance where it is visible.

Trenton Bricken Technical Alignment Team, Anthropic — post on X Anthropic
RSP v1.0 vs. RSP v3.0: What Changed

Separate from the Pentagon dispute, Anthropic’s chief science officer Jared Kaplan confirmed to TIME that the company overhauled its Responsible Scaling Policy. RSP v3.0 was published on February 24, 2026. Here is what changed:

RSP v1.0 (2023) — Removed Commitment
  • Would not train a new AI model unless safety measures were proven adequate in advance — a hard pre-condition on commercial release
  • Binary “tripwire” system: capability thresholds would automatically trigger a development pause
  • Categorical bar on training above a defined power level without pre-existing mitigations
  • Positioned as a potential blueprint for national regulation and international treaties
RSP v3.0 (Feb 24, 2026) — New Framework
  • Removes unilateral training-halt commitment — will not pause if competitors advance without equivalent safeguards
  • Regular public Frontier Safety Roadmaps with concrete safety goals
  • Risk Reports every 3–6 months: capabilities, threat models, and mitigations — with independent expert review for the most advanced models
  • Will delay development only if Anthropic leads the AI race and sees significant catastrophic risk — both conditions must apply
  • Commits to matching or surpassing competitors’ safety efforts

If one AI developer paused development to implement safety measures while others moved forward training and deploying AI systems without strong mitigations, that could result in a world that is less safe. The developers with the weakest protections would set the pace, and responsible developers would lose their ability to do safety research.

— Anthropic RSP v3.0 introduction, approved unanimously by Dario Amodei and Anthropic’s board, published February 24, 2026. Source: anthropic.com
Anthropic’s Verified Valuation Milestones

Post-money valuations at confirmed, publicly announced funding rounds only.

Sources: Anthropic Series F · Anthropic Series G · Sacra research. Only officially announced valuations shown.

Key Questions This Dispute Raised

Tap any question to expand. Each answer is based on verified statements and reporting only.

Anthropic’s position — that it retains the right to restrict specific use cases even in a commercial contract — has no clear established precedent in U.S. national security law. The Pentagon’s stated willingness to invoke the Defense Production Act suggests the government believes it may have authority to override such restrictions. No court ruling or binding precedent has resolved this question.
Ret. Lt. Gen. Jack Shanahan — inaugural director of the DoD’s JAIC and former director of Project Maven — stated explicitly that large language models are “not ready for prime time in national security settings” for autonomous weapons. Amodei echoed this, arguing these use cases are “outside the bounds of what today’s technology can safely and reliably do.” For related AI reliability concerns, see our report on the Amazon Kiro AI production environment incident.
METR’s Chris Painter, who reviewed an early draft of RSP v3.0, described a risk of “frog-boiling” — where danger slowly increases without a single clear trigger moment. The original RSP’s binary tripwire system was designed to prevent exactly that. With no federal AI law in place and the Trump administration opposing state-level AI regulation, voluntary corporate policies remain the primary governance tool. The broader AI infrastructure spending surge illustrates how fast capabilities are scaling relative to governance.
According to Defense One, replacing Anthropic’s AI tools would take the Pentagon months — Claude was already deeply integrated across classified and unclassified government systems. Amodei said Anthropic would “work to enable a smooth transition to another provider” if needed. The Pentagon’s parallel negotiations with OpenAI and Google mean at least two credible alternatives are being assessed. See also our coverage of Perplexity’s AI model developments for the broader competitive AI landscape in early 2026.
Where Things Stood as of February 27, 2026

Anthropic’s two restrictions — no mass surveillance, no fully autonomous weapons — remained in place as the Pentagon’s 5:01 p.m. ET Friday deadline passed. No agreement was announced. Amodei’s statement described the company’s willingness to support a transition to another provider if the DoD proceeded, and noted that the two restrictions had not caused operational disruption to existing military use of Claude.

RSP v3.0, published on February 24, 2026, was approved unanimously by Amodei and Anthropic’s board. Chief Science Officer Jared Kaplan described the change as a pragmatic response to a regulatory environment that did not materialise and a competitive landscape that did not pause. The revised policy was reviewed in draft form by METR. The new version retains commitments to transparency through public Frontier Safety Roadmaps and quarterly Risk Reports, including independent external expert review for the most advanced models.

The Pentagon standoff was reported from February 24–27, 2026. The TIME RSP exclusive was published February 23, 2026 — four days before the deadline. Both developments were discussed across the industry, in open letters from AI workers at competing companies, and in public statements from Republican and Democratic lawmakers. Related developments in the AI sector are tracked at Giganectar’s AI coverage.

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