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US appeals court declines to block Pentagon’s blacklisting of Anthropic

By Thomson Reuters Sep 25, 2026 | 10:24 AM

NEW YORK, Sept 25 (Reuters) – A federal appeals court on Friday ​declined to block ‌a Defense Department order blacklisting Anthropic from government contracts and deeming the ‌AI ​startup a national ⁠security risk.

The ruling ⁠from the US Court of Appeals for the District of Columbia ​Circuit came in a lawsuit by ⁠Anthropic challenging its ⁠designation by the ​Pentagon as a national ​security supply chain risk, which ‌the startup says has cost it billions of dollars in lost ⁠business and damaged its reputation ahead of a highly anticipated ⁠initial ‌public offering.

The designation ⁠has been blocked ​by ‌a judge overseeing ​a separate ⁠legal challenge in California federal court.

(Reporting by Jack Queen in New York, Editing by Franklin ​Paul)