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FCC Chief Slams Anthropic Over Pentagon AI Deal Breakdown, Urges 'Course Correction'

FCC Chairman Brendan Carr criticized Anthropic for refusing Pentagon terms on AI use, leading to a U.S. government blacklist. Anthropic stalled negotiations over ethical concerns about autonomous weapons and domestic surveillance, while the DoD sought broader military applications. President Trump ordered a halt to Anthropic's technology use, and Defense Secretary Hegseth labeled it a national security supply-chain risk. Anthropic defended its stance, calling the blacklist legally questionable and precedent-setting. Meanwhile, OpenAI secured a DoD deal that bans domestic surveillance but permits other lawful uses. The incidents underscore growing tensions between AI firms and the U.S. government over ethical boundaries in national security AI deployments.

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FCC Chief Slams Anthropic Over Pentagon AI Deal Breakdown, Urges 'Course Correction'

Federal Communications Commission Chairman Brendan Carr criticized AI company Anthropic for its role in collapsing Pentagon negotiations, calling it a "mistake" and urging the firm to "correct course" after the U.S. government blacklisted the company.

Stalled Pentagon Negotiations

  • Anthropic sought contractual assurances that its AI technology would not be deployed for fully autonomous weapons or domestic mass surveillance of Americans.
  • The Department of Defense insisted on permitting military use across all lawful applications, leading to a deadlock.
  • Talks broke down last week when Anthropic CEO Dario Amodei stated the company "cannot in good conscience" agree to the terms.

FCC Chairman's Criticism

  • Carr told CNBC that Anthropic "probably made a mistake" and should attempt to resolve the issue.
  • He emphasized that standard regulatory "rules of the road" apply to all technologies contracted by the Defense Department.
  • Carr noted Anthropic was offered multiple opportunities to reach an agreement but declined, calling it a strategic error.
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Government Blacklist Actions

  • President Donald Trump ordered all U.S. government agencies to "immediately cease" using Anthropic's technology.
  • Defense Secretary Pete Hegseth designated Anthropic a "Supply-Chain Risk to National Security," barring Pentagon contractors from engaging with the firm.

Anthropic's Defense

  • The company expressed being "saddened" by the blacklist, deeming it "legally unsound" and a "dangerous precedent" for government negotiations.
  • Anthropic affirmed support for all lawful AI uses in national security, excluding mass domestic surveillance and fully autonomous weapons.
  • It claimed to have negotiated in good faith with the Department of Defense.

OpenAI's Concurrent Agreement

  • Hours after Anthropic's blacklisting, OpenAI CEO Sam Altman announced a revised deal with the DoD.

  • The agreement explicitly prohibits intentional use of AI for "domestic surveillance of U.S. persons and nationals."

  • Altman conceded OpenAI "shouldn't have rushed" its initial deal, which "looked opportunistic and sloppy."

  • Contributions from CNBC's Ashley Capoot and Dylan Butts.

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