A federal judge in California has blocked the Trump administration from designating AI company Anthropic as a "supply chain risk" and banning federal use of its technology, ruling the government's actions likely unlawful and arbitrary. The dispute arose after Anthropic restricted military use of its AI for surveillance and autonomous weapons, leading to the Pentagon’s prohibition and a presidential order to cease using its services. The injunction restores the status quo pending appeal, allowing agencies to choose AI providers freely while Anthropic continues legal challenges against what it calls retaliatory government actions.