Pentagon formally labels Anthropic supply-chain risk

> Isn’t it actually quite fair that if you are not compliant with whatever the government wants you to do you will be supplying chain risk?

In the US, government is not in control of business specifics. Certainly the government can regulate businesses, but when the government wants to do business with a company, they don't get to dictate the terms. The government and the company come to a negotiated agreement, and then both abide by the terms of that agreement. Or they don't come to an agreement, and they go their separate ways, and that's the end of it.

This was just a contract dispute, and nothing more. The US government has no legal right to use any companies' products on terms that the US government dictates. (Yes, there are exceptional/emergency cases where they can do this, but that's more a nuclear option, and shouldn't be used lightly.) Consider a different set of circumstances: the US government wants to be able to use Claude at $10 per seat per month, unlimited usage. Should Anthropic be forced to accept these terms? And if they don't, it's reasonable to designate them a supply-chain risk? I don't think so. A dispute over contract terms around acceptable use is no different.

Designating Anthropic a supply-chain risk is about retaliation and retribution, plain and simple. The US government, outside of the Pentagon, could certainly use Anthropic for many different purposes if they wanted to, and it would be fine. But not now: as a supply-chain risk, no one in the US government can use them for any purpose. And this might even be a problem for unrelated companies that use Anthropic products internally, but also want to obtain and work on government contracts.

If Anthropic changes course will you move to Gemini? If all models do, local llama I assume?

I canceled my subscription, but have not yet exported and deleted because I'm an idiot, and also because I'm not sure if deleting it will have any actual impact (is it a hard delete? Likely not, even if they say it is).

And I'm just trying to play out what happens if Anthropic, and Google (if they haven't already), capitulate. Am I just going to forego using the best models and suffer any repercussions of not having access when the people who couldn't care less if the military is using AI for illegal uses continue to leverage them? When I say illegal I'm talking about the surveillance-of-US-citizens red line Anthropic would not agree to. The autonomous weapon one I'm sure there are zero laws against and so that wouldn't actually be illegal.

The other such labeled companies have contracts too.

And the F35 comes with tons of contract terms in favor of the manufacturer. Like I've heard about how planes have been grounded because although an air base has the parts and mechanics rated to perform the repair on site, the servicing contract only allows it to be performed by the service contractors who needed to be flown in.