REGULATORY · COMPETITIVE · USA
US federal procurement: Trump orders agencies to stop using Anthropic AI
Change
President Donald Trump directed all US federal agencies to immediately cease using Anthropic’s technology, with a six-month phaseout for the Department of Defense and other agencies currently using its products.
Why it matters
The directive is an executed procurement/use restriction affecting Anthropic across the US federal government, effective immediately, with a six-month transition window for DoD and other current users. Agencies relying on Anthropic products face an imposed timeline for service discontinuation and potential re-scoping of AI-enabled workflows. Anthropic’s reported $200m Pentagon contract is directly exposed to termination or modification risk under the new order. The change also tightens vendor eligibility assumptions for federal AI deployments and may cascade to subcontractors and integrators embedded in affected programs.
Implications
- • Immediate halt in Anthropic use across most federal agencies
- • Six-month wind-down clock for DoD/other current Anthropic users
- • Anthropic’s federal revenue/contracts face termination or modification risk
- • Integrators/subcontractors on Anthropic-based programs face delivery disruptions
Who is affected
- • Anthropic (AI lab) and its federal contracting revenue
- • US Department of Defense programs using Anthropic products
- • Federal civilian agencies using Anthropic technology
- • Prime contractors and systems integrators embedding Anthropic in deliverables
Source
Topics
World & Politics Policy & Regulation Law & Public Safety Regulatory Actions Technology & Innovation Artificial Intelligence