The Department of War ended its contract with AI developer Anthropic after several months of negotiations. The company had been negotiating with the military over the use of its models on classified systems and refused to allow the Pentagon to use its AI to create autonomous weapons or conduct mass surveillance on citizens. Tensions escalated when Secretary of War Pete Hegseth threatened to terminate Anthropic's $200 million contract if it didn't lift restrictions on all lawful military uses by Friday evening. He also designated Anthropic as a "supply-chain risk to national security" and stated that no contractor, supplier, or partner that does business with the United States military may conduct any commercial activity with Anthropic. On the same day, OpenAI CEO Sam Altman announced that he'd reached a deal with the Pentagon, which he believes holds the same two red lines Anthropic does.