Pentagon Diversifies AI Suppliers After Anthropic Rift, Small Defense AI Startups See Surge in Demand

The Pentagon is diversifying its AI vendor base following a breakdown in its relationship with Anthropic, which was removed from U.S. military use. Small defense AI startups including Smack Technologies and EdgeRunner AI report dramatic increases in interest from senior military officials, including generals and combatant commanders. The shift occurs as the Pentagon simultaneously pursues plans to allow AI companies to train models on classified data in secure environments and formalizes Palantir Maven as a long-term operational AI infrastructure program.