Traders are increasingly backing Anthropic's legal fight against the Pentagon, with odds of the company winning its lawsuit jumping to 87¢ from 69¢. U.S. District Judge Rita Lin questioned the Pentagon's actions, saying "I don't know if it's murder, but it looks like an attempt to cripple Anthropic". The case centers on whether Defense Secretary Pete Hegseth's designation of Anthropic as a national security supply chain risk — the first time a US company has been publicly designated under this statute — constitutes retaliation for the company's refusal to allow its AI technology to be used for autonomous weapons and mass surveillance. Anthropic's lawyer argued this designation "has never been done with respect to American company" and "is a very narrow authority" that "doesn't apply here". The market's confidence surge comes as the judge expressed skepticism about the government's rationale, suggesting traders see strong legal grounds for Anthropic's First Amendment retaliation claims.