The Pentagon has given artificial intelligence firm Anthropic until Friday to lift restrictions on how its Claude AI system can be used by the military, warning it could cancel a $200 million contract or take other punitive steps if the company refuses, according to multiple sources familiar with the discussions.

The skirmish broke out after the Pentagon claimed Anthropic had asked whether its product was used in the January military operation to capture Venezuelan leader Nicolás Maduro, in a way that suggested the company may not approve if it was. The Pentagon insists AI companies must allow products to be utilized for all lawful military use cases — without company oversight or approval. 

Anthropic suggests its red lines are not allowing its products to be used for fully autonomous weapons or mass surveillance of Americans. 

War Secretary Pete Hegseth delivered an ultimatum during a Tuesday meeting at the Pentagon with Anthropic CEO Dario Amodei, even as Hegseth praised the company’s technology and said the department wants to continue working with the firm, sources said.

Hegseth told Amodei that if the company did not allow Claude to be used for all lawful purposes, it could face termination of its Pentagon contract, designation as a supply chain risk — potentially limiting its ability to work with defense vendors — or possible invocation of the Defense Production Act to compel access to the technology, according to sources familiar with the meeting.

Claude is currently the only advanced, commercial AI model of its kind operating inside the Pentagon’s classified networks, under a $200 million contract awarded in summer 2025, significantly raising the stakes of the dispute.

Pentagon officials argue the Department of Defense cannot depend on a private company that maintains categorical restrictions on certain uses of its technology, even if those uses are lawful. During the meeting, Hegseth compared the situation to being told the military could not use a specific aircraft for a mission, according to a source familiar with the exchange.

The dispute represents an early test of who controls the guardrails on advanced AI inside U.S. defense systems — private companies or the Pentagon. The outcome could shape how the military partners with leading AI developers as it moves to integrate more powerful machine learning tools into national security operations.

Anthropic, which has branded itself as a safety-oriented AI company, has said its policies are meant to reduce the risk of misuse as advanced AI systems become more powerful.

During the meeting, Amodei walked through those restrictions and argued restrictions would not interfere with lawful, legitimate War Department operations, according to a source familiar with the meeting. 

A senior Pentagon official claimed its position ‘has nothing to do with mass surveillance or autonomous targeting’ because ‘there’s always a human involved and the department always follows the law.’ 

Even as tensions rose, officials on both sides indicated that fully autonomous weapons are not currently contemplated under the department’s lawful use framework, suggesting the clash is as much about control as about battlefield applications.

During Tuesday’s meeting, Hegseth explicitly referenced potential use of the Defense Production Act, termination of Anthropic’s existing contract and the possibility of designating the company a supply chain risk if it does not agree to allow its products to be used for all lawful purposes, sources said.

Such steps reflect two very different forms of federal leverage. 

A supply chain risk designation could restrict Anthropic’s ability to work with federal vendors and contractors by signaling the company poses reliability or governance concerns, while invoking the Defense Production Act would represent a rare attempt to use national security authorities to compel access to frontier AI systems deemed critical to defense needs.

Terminating the contract would carry consequences beyond ending a vendor relationship. Because Claude is currently embedded inside the Pentagon’s classified networks in a $200 million agreement, cancellation could disrupt existing workflows and require the department to transition sensitive systems to an alternative provider.

Pentagon officials also said Elon Musk’s Grok AI chatbot has agreed to allow its products to be used for all lawful purposes, including potential integration into classified systems, and that other frontier AI firms are ‘close’ to similar arrangements. 

Grok did not immediately respond to a request for comment.

Anthropic, in a statement attributed to a company spokesperson, said: ‘Anthropic CEO Dario Amodei met with Secretary Hegseth at the Pentagon this morning. During the conversation, Dario expressed appreciation for the Department’s work and thanked the Secretary for his service. We continued good-faith conversations about our usage policy to ensure Anthropic can continue to support the government’s national security mission in line with what our models can reliably and responsibly do.’

Related Article

Top AI firm alleges Chinese labs used 24K fake accounts to siphon US tech

The Mexican government said the security situation in the western state of Jalisco has ‘stabilized’ after an explosion of cartel-linked violence following the death of kingpin Nemesio Rubén Oseguera Cervantes, known as ‘El Mencho.’

The Embassy of Mexico in the United States said federal and state authorities were working to normalize conditions after the unrest, reopening transit corridors and restoring public services following targeted operations.

The update comes as the State Department’s travel advisory for Mexico remains in effect at a heightened level of caution, while flight cancellations and transportation disruptions stranded some travelers in popular destinations such as Puerto Vallarta and Guadalajara. Hundreds of Americans remain stranded in Mexico following the violence.

‘The security situation has now stabilized following targeted operations in Jalisco,’ the embassy said in a post on X. ‘Federal and state authorities are proceeding to reopen transit corridors and restore public services smoothly.’

The embassy said airline operations were returning to normal and that international carriers were resuming flights. Puerto Vallarta International Airport has reopened to domestic traffic, according to the statement.

‘If traveling through Jalisco, some local security measures remain in place, while authorities are restoring airport operations to full capacity,’ the embassy added.

Officials said they were coordinating with international partners ‘to ensure safety and stability at all transit hubs and tourist destinations.’

The statement described the operation as part of ‘a broader national effort that has produced a sustained decrease in violence across Mexico in recent months.’

According to the State Department’s official website, Mexico is currently under a Level 2 ‘Exercise Increased Caution’ travel advisory due to risks including crime and kidnapping. The advisory notes that violent crime and organized criminal activity remain concerns for U.S. citizens traveling in the country.

Certain Mexican states carry higher risk levels, with some areas classified as Level 3 ‘Reconsider Travel’ or Level 4 ‘Do Not Travel,’ depending on local conditions. Jalisco — where the recent violence occurred — has previously been listed among states with elevated advisory levels, though the State Department notes that risk can vary by region.

The advisory urges U.S. citizens to take precautions similar to those required of U.S. government employees, including avoiding intercity travel at night, using regulated transportation services and remaining aware that emergency services may be limited in some areas.

The State Department said it had received hundreds of calls on its 24/7 crisis hotline as Americans sought assistance following the violence.

Mexican authorities said Oseguera Cervantes was killed Sunday during an operation aided by U.S. intelligence. 

The cartel responded by setting vehicles on fire and erecting roadblocks throughout Guadalajara, the state capital. The city’s international airport operated at limited capacity as violence gripped the area.

The U.S. State Department had previously offered up to $15 million for information leading to his arrest or conviction, describing him as ‘one of the most wanted fugitives in Mexico.’

Related Article

Narcotics expert reveals slain drug kingpin ‘El Mencho’s’ deadly impact on Americans

Secretary of State Marco Rubio and CIA Director John Ratcliffe will brief top congressional leaders on rising tensions in Iran on Tuesday ahead of President Donald Trump’s annual State of the Union address. 

Ratcliffe and Rubio, who also serves as Trump’s national security advisor, will brief the so-called ‘Gang of Eight,’ congressional leadership as well as top lawmakers on the Intelligence committees, from the White House Tuesday at 3 p.m. 

The closed-door session comes as the administration weighs next steps in the escalating standoff with the Islamic Republic. Talks with Iran, where the U.S. is pushing for full denuclearization and a limit on its ballistic missile program, are scheduled to resume on Thursday. White House envoys Jared Kushner and Steve Witkoff led talks last week with Iran that did not result in a tangible deal. 

The White House has made clear that diplomacy is Trump’s first priority, but the Middle East has seen the largest U.S. military buildup in decades: one carrier strike group under the USS Abraham Lincoln is already in the region and another under the USS Gerald R. Ford is heading that way.

Meanwhile, Iran is digging in. Foreign Minister Abbas Araghchi posted on X Tuesday: ‘Our fundamental convictions are crystal clear: Iran will under no circumstances ever develop a nuclear weapon; neither will we Iranians ever forgo our right to harness the dividends of peaceful nuclear technology for our people.’

In a message directed at the American side, he added: ‘A deal is within reach, but only if diplomacy is given priority.’

The U.S. has insisted Iran cannot have any nuclear enrichment capacity, even for energy purposes.

Araghchi said last week that the two sides had come to a ‘general agreement on a number of guiding principles’ and agreed to begin drafting text for a possible agreement, with plans to exchange drafts and schedule a third round of talks. 

Meanwhile, reports have swirled that Trump is considering a ‘limited’ strike on Iran aimed at pressuring its leaders into acquiescing to a deal.

Rubio’s classified briefing comes at a pivotal moment — just hours before Trump steps to the podium for his State of the Union address. The timing suggests the administration wants congressional leaders fully briefed on Iran’s nuclear posture, U.S. intelligence assessments and potential next steps before the president publicly lays out his strategy to the nation.

By meeting with the ‘Gang of Eight’ ahead of the speech, the White House is also locking in oversight consultation before Trump speaks. That gives top lawmakers the same classified context the president is working from — and makes it harder for critics to argue they were blindsided if Trump signals tougher action, new diplomatic parameters or a shift in posture toward Tehran during his address.

Related Article

Top Iran security official seen in Oman days after indirect nuclear talks with US

Erika Kirk, widow of Turning Point USA founder Charlie Kirk, will be President Donald Trump’s guest at Tuesday night’s State of the Union.

White House press secretary Karoline Leavitt confirmed Kirk’s attendance as ‘one of President Trump’s special guests’ in a post on X that included the Daily Wire article first reporting the announcement.

During his speech, the president will reportedly affirm that America is ‘one nation under God’ and will call on Congress to ‘firmly reject political violence against our fellow citizens,’ the Daily Wire reported on Tuesday. The Daily Wire said the call comes after years of political violence, including the assassination of Charlie Kirk. Trump is no stranger to this wave of political violence, as he was shot during a campaign rally in Butler, Pa., in July 2024.

Trump administration officials rallied around Erika Kirk after her husband’s assassination in September during a debate event at Utah Valley University. Charlie Kirk’s casket was flown from Utah to his home state of Arizona aboard Air Force Two and Vice President JD Vance escorted the casket as it was carried onto the plane. Later, second lady Usha Vance was seen holding Erika’s hand as they departed Air Force Two.

Several members of the Trump administration, including the president and vice president, took part in a memorial service for Charlie Kirk in Arizona on Sept. 21, 2025, just 11 days after the outspoken conservative icon was killed. During his address at the memorial service, Trump called Charlie Kirk a ‘martyr for American freedom.’

A little more than a month after his assassination, Charlie Kirk was posthumously awarded the Medal of Freedom on what would have been his 32nd birthday. Erika Kirk accepted the medal from Trump on behalf of her late husband. She said that in awarding Charlie with the nation’s highest civilian honor, the president had given her late husband ‘the best birthday gift he could ever have.’

‘Charlie always admired your commitment to freedom, and that’s something that both of you shared. So thank you,’ Erika Kirk said to Trump during the event. ‘Your support of our family and the work that Charlie devoted his life to will be something I cherish forever.’

Erika Kirk also thanked the vice president and second lady, saying that their friendship had been an ‘unbelievable encouragement.’

Charlie Kirk was 31 when he was killed and left behind his wife and two young children — a son and a daughter.

Related Article

Judge dismisses defense push to remove prosecutors from Charlie Kirk murder case

Iran is nearing a deal with China to acquire supersonic anti-ship cruise missiles, a move that could significantly raise the stakes in the Middle East as U.S. carrier strike groups assemble within striking distance of the Islamic Republic.

Reuters reported Tuesday that Tehran is close to finalizing an agreement for Chinese-made CM-302 missiles, citing six people with knowledge of the negotiations.

The supersonic weapons, which can travel roughly 180 miles and fly low to evade ship defenses, would enhance Iran’s ability to target U.S. naval forces operating in the region.

The deal is near completion, though no delivery date has been agreed, the people said. It is unclear how many missiles are involved, how much Iran has agreed to pay, or whether China will ultimately proceed given heightened regional tensions.

Reuters reported that negotiations accelerated after last year’s 12-day war between Israel and Iran, which left Tehran’s military infrastructure strained and heightened regional tensions.

The reported deal comes as President Donald Trump warns Tehran of consequences if it fails to curb its nuclear program, while the Pentagon has deployed multiple carrier strike groups to the region, including USS Abraham Lincoln and USS Gerald R. Ford. The buildup marks one of the largest U.S. naval deployments in the region in recent years.

Trump said on Feb. 19 he was giving Iran 10 days to reach an agreement over its nuclear program or face potential military action.

A White House official told Fox News Digital that the president remains firm that Iran cannot develop nuclear weapons or enrich uranium.

‘The president would like to see a deal negotiated, but he has been clear that ‘either we will make a deal or we will have to do something very tough like last time,’’ the official said when asked for comment on the reported approaching Iran-China deal.

Iranian Supreme Leader Ayatollah Ali Khamenei last week appeared to threaten U.S. warships directly.

‘More dangerous than that warship is the weapon that can send that warship to the bottom of the sea,’ Khamenei wrote on Feb. 17 on X.

Military analysts say a Chinese transfer of supersonic anti-ship missiles could complicate U.S. naval operations in the Persian Gulf and surrounding waters.

‘It’s a complete game-changer if Iran has supersonic capability to attack ships in the area,’ Danny Citrinowicz, a former Israeli intelligence officer and senior Iran researcher at Israel’s Institute for National Security Studies, told Reuters. ‘These missiles are very difficult to intercept.’

Still, U.S. forces maintain layered defenses against Iranian threats, including Patriot missile batteries, Navy destroyers equipped with Standard Missile interceptors and F-35 stealth fighters, Fox News Digital reported.

Last year, Navy destroyers in the eastern Mediterranean intercepted Iranian ballistic missiles using SM-3 interceptors, while Marine Corps F-35Cs operating from USS Abraham Lincoln shot down Iranian drones that approached U.S. assets, according to U.S. Central Command.

Iran has also relied on swarming fast boats, ballistic missiles and drones in past confrontations with U.S. forces.

The White House did not directly address the reported missile negotiations when asked by Reuters. China’s foreign ministry told the outlet it was not aware of the talks.

The potential transfer would mark one of the most advanced Chinese weapons systems supplied to Iran in decades and could test U.S. sanctions authorities if finalized.

As U.S. forces fan out across the region, defense officials have stressed that the buildup is designed to deter Iranian aggression — but warned they are prepared for combat if diplomacy fails.

Reuters contributed to this report.

Related Article

Iran launches war drills in Hormuz Strait as US carrier is flying missions 24/7 before Geneva talks

The U.S. Postal Service cannot be sued for damages for intentionally failing to deliver mail, the Supreme Court ruled in a 5-4 decision released Tuesday.

The majority opinion, written by Justice Clarence Thomas, ruled the government’s sovereign immunity bars claims for undelivered mail. 

‘The United States enjoys sovereign immunity and cannot be sued without its consent,’ Thomas wrote, citing the Federal Tort Claims Act (FTCA) granting ‘sovereign immunity for a wide range of claims about mail.’

‘Specifically, the FTCA’s postal exception retains sovereign immunity for all claims ‘arising out of the loss, miscarriage, or negligent transmission of letters or postal matter,’’ he continued, adding, ‘This case concerns whether this exception applies when postal workers intentionally fail to deliver the mail. We hold that it does.’

The case, U.S. Postal Service v. Konan, stemmed from a dispute between Texas landlord Lebene Konan and her local post office. Konan alleged that postal workers in Euless, Texas, intentionally withheld and returned mail addressed to her and her tenants at two rental properties she owned, causing financial harm and emotional distress.

After her administrative complaints failed, Konan sued the United States in federal court, asserting state law claims including nuisance, tortious interference and conversion. A federal district court dismissed her claims, citing the FTCA’s postal exception, which preserves immunity for ‘any claim arising out of the loss, miscarriage, or negligent transmission of letters or postal matter.’

The U.S. Court of Appeals for the Fifth Circuit revived the lawsuit, ruling the exception did not apply to intentional acts of nondelivery. The Supreme Court agreed to hear the case to resolve a split among federal appeals courts.

Reversing the Fifth Circuit, the high court held that the ordinary meaning of ‘loss’ and ‘miscarriage’ at the time Congress enacted the FTCA in 1946 encompassed mail that fails to arrive at its destination, regardless of whether the failure was negligent or intentional.

‘A ‘miscarriage of mail’ includes failure of the mail to arrive at its intended destination, regardless of the carrier’s intent or where the mail goes instead,’ Thomas wrote.

The decision vacates the Fifth Circuit’s ruling and sends the case back for further proceedings, though the justices did not decide whether all of Konan’s claims are barred.

‘We hold that the postal exception covers suits against the United States for the intentional nondelivery of mail,’ Thomas concluded. ‘We do not decide whether all of Konan’s claims are barred by the postal exception, or which arguments Konan adequately preserved.

Sotomayor wrote the dissenting opinion, arguing that the postal exception was meant to cover negligent mistakes, not intentional misconduct.

‘Today, the majority concludes that the postal exception captures, and therefore protects, the intentional nondelivery of mail, even when that nondelivery was driven by malicious reasons,’ she dissented.

Justice Neil Gorsuch joined the three liberal justices – Sotomayor, Elena Kagan and Ketanji Brown Jackson – in the dissent.

The ruling underscores the limits of the FTCA’s waiver of sovereign immunity and narrows the circumstances in which individuals can seek damages for mail-related harms, even when they allege deliberate wrongdoing by postal employees.

Related Article

Trump’s tariff revenues hit record highs as Supreme Court deals major blow

White House press secretary Karoline Leavitt said Tuesday that President Donald Trump’s first option for Iran is ‘always diplomacy,’ but that he is ‘willing to use the lethal force of the United States military if necessary.’ 

The remarks come after Trump wrote on Truth Social Monday that ‘it will be a very bad day’ for Iran if the country can’t strike a deal over its nuclear program. 

‘President Trump’s first option is always diplomacy. But as he has shown, he is willing to use the lethal force of the United States military if necessary. So the president is always the final decision-maker around here,’ Leavitt said Tuesday. 

‘And I’ve seen a lot of sensationalist reporting over the past day that is just completely untrue. And anyone speculating to the media hiding behind an anonymous source, pretending to know what President Trump is thinking, or a decision he will make with respect to action against Iran has no idea what they’re talking about,’ she added. 

The president told reporters last week that he is ‘considering’ a limited military strike on Iran to pressure its leaders into reaching a deal over its nuclear program. 

The U.S. has recently been increasing its military assets in the Middle East, sending the USS Gerald R. Ford and its strike group toward the region. 

The USS Abraham Lincoln and three guided-missile destroyers already are in the area. 

‘Everything that has been written about a potential War with Iran has been written incorrectly, and purposefully so. I am the one that makes the decision, I would rather have a Deal than not but, if we don’t make a Deal, it will be a very bad day for that Country and, very sadly, its people, because they are great and wonderful, and something like this should never have happened to them,’ Trump wrote on Truth Social on Monday. 

A federal court ruling Monday has essentially locked in a new Utah congressional redistricting map that would create a Democrat-heavy Salt Lake City-based seat, potentially flipping one of Utah’s Republican-held U.S. House seats.

A special three-judge federal panel is allowing a revised congressional redistricting map in Utah to go into effect, rejecting an effort by state Republicans to block it. The judicial panel denied a Republican-led request for a preliminary injunction to put the new map on hold.

The new voting boundaries give Democrats a better shot at winning Utah’s 1st Congressional District, a seat currently held by Rep. Blake Moore, R-Utah.

Two of Utah’s other four GOP seat-holders in Congress – Rep. Burgess Owens, R-Utah; and Rep. Celeste Maloy, R-Utah – had signed on to the challenge but have accepted the decision in a joint statement.

‘We receive today’s decision with profound disappointment but respect for the Court’s careful review,’ the statement, shared on X by Owens, read. ‘This case concerns the Constitution’s allocation of authority over federal elections, a question of lasting importance beyond any single election cycle.’

‘Having these issues heard has strengthened public understanding and clarified what is at stake,’ the statement continued. ‘We remain convinced that the Constitution assigns this responsibility to the State’s lawmaking authority and that this principle is essential to preserving constitutional order and the rule of law.’

A state judge had ordered the new map, striking congressional voting lines adopted by the state legislature after the 2020 census. A state voter referendum had approved anti-gerrymandering standards. The Utah Supreme Court, in recent days, had also rejected the original map crafted by the GOP-controlled legislature.

The federal panel’s decision rested on the ‘Purcell principle’ — the idea that judicial interference so close to an election causes ‘chaos and confusion.’

Though the GOP can still appeal to the U.S. Supreme Court for emergency relief, the judges warned that any further ‘tinkering’ would come too late to prevent electoral disruption for the 2026 midterms.

Utah Republican Lt. Gov. Deidre Henderson took no position on the case, but did tell the court she needed to have a decision by Monday in order to implement the proper redistricting map, according to the ruling.

Early race ratings from The Cook Political Report have already shifted this district from ‘Solid Republican’ to ‘Solid Democratic.’

Moore’s northern Utah seat is being renumbered to the 2nd Congressional District, a seat which is currently held by Maloy. Owens currently holds the 4th Congressional District, while Rep. Mike Kennedy, R-Utah, holds the GOP’s 3rd Congressional District seat.

President Donald Trump has acknowledged the difficult history for sitting presidents’ parties in midterm elections, and the current House GOP majority is held by a slim margin of 218-214 with three current vacancies: Former Rep. Mike Sherrill, D-N.J., who resigned to become New Jersey’s governor; former Rep. Marjorie Taylor-Greene, R-Ga., who resigned at the start of the congressional year; and late Rep. Doug LaMalfa, R-Calif., who died Jan. 6.

Fox News’ Bill Mears contributed to this report.

Related Article

Maryland House approves new congressional map as Senate leaders warn of risks

A new study aims to jolt Israel’s security and technology establishment into embracing a new post-Oct. 7, 2023, business model that will advance the U.S.-Israel strategic partnership in the heart of the Middle East and across the globe.

The Henry Jackson Society study titled ‘Israel 2048: A Blueprint for a Rising Asymmetric Geopolitical Power’ jumps into the future, with a view toward advancing American and Israeli security interests.

Co-author of the report, Barak M. Seener, told Fox News Digital that America requires Israel for ‘its security architecture in the region via the Abraham Accords and, more broadly, will be a force multiplier regarding the technological edge against China.’

During President Donald Trump’s first term, his administration sealed diplomatic normalization deals between Sunni Gulf and North African countries: Bahrain, United Arab Emirates, Morocco, Sudan and Israel.

Seener and co-author David Wurmser argue that there is a pressing need to reframe the U.S.–Israel strategic partnership ‘around technology,’ and ‘shift from military aid dependency towards joint R&D and investment in shared technological platforms in defence-tech, AI, quantum computing and next generational warfare capabilities.’

They wrote, ‘Israel must prioritize passing negotiated regulations for technology sharing to prevent AI/ quantum technology leakage to China.’

Seener noted that the Pentagon’s National Defense Strategy (released in January) describes Israel as a strategic military partner. ‘That has never happened before.’

He continued, ‘Israel is not only achieving regional dominance but international power by connecting trade routes and digital connectivity. Israel simply cannot remain in a purely defensive posture and hunker down and react to threats on its borders.’ 

Seener said following Israel’s successful air war campaign against the Islamic Republic of Iran in June 2025, ‘America now wants to be part of this success story. ‘

He argues that President Donald Trump entered on the side of Israel with military attacks because ‘Israel demonstrated intelligence acumen and military prowess. For the first time, America joined Israel’ in the prosecution of a war.

Consequently, Seener said Israel’s ‘defense technology makes it indispensable for nations.’

Seener and Wurmser’s 51-page study contains granular information on how the U.S. can strengthen American security and recommend embedding ‘Israel as a defense-tech and deep-tech power that is indispensable to Western security and global technological competition in supply chains for AI, semiconductors, missile defense, cyber capabilities and critical materials. Israel’s technological dominance must be leveraged to anchor alliances and shape global supply chains.’

The wobbliness of America’s European partners is also highlighted to show the need for Israel to ‘Accelerate domestic lines of production of critical military systems, munitions and energy infrastructure to reduce vulnerability to foreign political pressure such as Europe’s growing ambivalence, coupled with episodic constraints on arms transfers,’ according to the authors.

Earlier this month, Britain’s left-leaning government reportedly denied the U.S. military’s use of British bases to strike Iran.

Israel is uniquely positioned to help regenerate relations among Western powers, the study notes. According to the authors, there is an opportunity to ‘use Israel’s defense-tech, quantum computing, AI and cyber capabilities as a tool of statecraft to deepen alliances, deter political isolation and strengthen influence in Europe, the Gulf and Asia.’

Seener said, ‘Israel is not a superpower but a geopolitical power that gives nations a force multiplier, and they benefit from Israel as a tech defense nation.’

Related Article

Trump’s America First strategy builds deterrence through strong US-Israel alliance, experts say