Amazon.com, Inc. (NASDAQ:AMZN)-backed AI developer Anthropic is reportedly in a standoff with the Pentagon over how its artificial intelligence tools can be used.

Pentagon Vs. Anthropic: A High-Stakes AI Dispute

The dispute centers on whether Anthropic's AI models, which include safeguards to prevent harmful actions, can be deployed by U.S. military and intelligence agencies without restrictions, reported Reuters, citing people familiar with the matter.

As per the sources, Anthropic raised concerns that its technology could be used to target weapons autonomously or spy on Americans without human oversight.

The U.S. government has "extensively used" Anthropic's AI for national security missions and the company is engaged in productive discussions about ways to continue that work, an Anthropic spokesperson told the publication.

Anthropic did not immediately respond to Benzinga's request for comments.

Pentagon officials, citing a Jan. 9 department memo on AI strategy, maintain that commercial AI should be deployable as long as it complies with U.S. law, regardless of corporate usage policies, the report added.

Ethics, National Security And Silicon Valley Influence

The standoff represents an early test of how Silicon Valley companies can shape the ethical deployment of AI in military contexts.

Anthropic CEO Dario Amodei this week warned in a blog post that AI should support national defense "in all ways except those which would make us more like our autocratic adversaries."

The San Francisco-based startup is preparing for a potential public offering while investing heavily in U.S. national security partnerships.

Anthropic Projects $18 Billion In 2026 Revenue

Anthropic has boosted its 2026 revenue projection by 20%, now expecting sales to reach $18 billion this year and $55 billion in 2027.

Its popular AI model, Claude, achieved a $1 billion run rate revenue just six months after its public launch.

In addition, Anthropic recently completed a funding round valuing the company at $350 billion, far surpassing its original $10 billion target.

Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

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