Trump orders federal agencies to stop using Anthropic's technology

"We don't need it, we don't want it, and will not do business with them again," Trump said of Anthropic. Pool photo by Kenny Holston/The New York Times. 2026-02-27T21:08:32.369Z Share Copy link Email Facebook WhatsApp X LinkedIn Bluesky Threads lighning bolt icon An icon in the shape of a lightning bolt.

Impact Link Save Saved Read in app This story is available exclusively to Business Insider subscribers. Become an Insider and start reading now. Have an account? Log in. Trump said he's directing all federal agencies to stop using Anthropic's tech. It comes amid a dispute between the AI giant and the Department of Defense. "We don't need it, we don't want it, and will not do business with them again," Trump said.

President Donald Trump says federal agencies won't be using Anthropic's technology anymore. "We don't need it, we don't want it, and will not do business with them again," Trump wrote on Truth Social on Friday.It comes amid a dispute between the AI giant and the Department of Defense. Trump said that there would be a six-month phase-out period for departments, including the Department of Defense, that are "using Anthropic's products, at various levels.""WE will decide the fate of our Country — NOT some out-of-control, Radical Left AI company run by people who have no idea what the real World is all about," Trump wrote. pic.twitter.com/B51SWfn81N— Rapid Response 47 (@RapidResponse47) February 27, 2026 Trump's announcement comes just a few hours before the Friday evening deadline defense officials had given Anthropic to agree to the military's terms of use for the company's frontier model, Claude.Earlier this week, the two parties came to an impasse over how the military can deploy Claude. The issue appeared to revolve around two safeguards Anthropic was not willing to drop: mass surveillance of US citizens and autonomous weapons.Defense Secretary Pete Hegseth had given Anthropic's CEO Dario Amodei until Friday, 5:01 p.m. Eastern Time to get on board with the military. Hegseth also warned that the government could invoke the Defense Production Act — a wartime law that gives the president broad authority over a company's resources — and designate Anthropic as a supply chain risk. Both would be unprecedented moves by the government against an American technology company, experts previously told Business Insider.On Thursday, Amodei published a blog post stating that the Defense Department had added language to its contract allowing for "any lawful use" of its model. A source familiar with the negotiations told Business Insider that this language effectively gave the military discretion over how it uses Claude.The Anthropic CEO said in his post that the company would prefer to continue serving the department but that it could not "in good conscience accede to their request." This is a developing story. Please check back for updates.