This is a classic "arm-twisting" scenario. The ban hits not only Anthropic's direct government contracts but also thousands of private B2B contractors who work with the government and are now forced to purge Claude from their pipelines. The industry received a clear and harsh signal: any frontier model developer who refuses to integrate into the national security architecture will be economically destroyed in the domestic market. Neutrality is no longer an option.
Source: Reuters / Axios
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