Palantir CEO Karp Says Pentagon Still Using Claude Despite Ban

Palantir CEO Alex Karp said the U.S. Department of Defense is still using Anthropic’s Claude artificial intelligence model in certain military operations despite the Pentagon formally designating the company a “supply chain risk.” The dispute has intensified tensions between the U.S. government and one of the country’s leading AI developers.

In early March 2026, the Pentagon officially labeled Anthropic a supply‑chain risk, an unprecedented move against a U.S. technology firm. The decision followed a public disagreement after the company refused to allow its Claude AI system to be used for mass surveillance of Americans or fully autonomous weapons systems without human oversight.

Anthropic’s technology is integrated into Palantir’s data analytics platforms used by U.S. intelligence and defense agencies. Claude has been deployed to help analyze large volumes of data, identify patterns and accelerate document review and intelligence workflows in time‑sensitive national security operations.

Although the Pentagon’s designation could ultimately force contractors to phase out Anthropic’s technology, reports indicate Claude is still being used in some operational systems, including support functions tied to the conflict involving Iran. Anthropic has responded by filing lawsuits against the U.S. government, arguing that the supply‑chain risk label is legally unjustified and could have significant consequences for the broader U.S. AI and defense technology ecosystem.