Yes - Anthropic _does_ incur business risk if their products are misused and this becomes a scandal. Legally the government may be in the clear to use the product, but that doesn’t mean Anthropic’s business is protected. Moral concerns aside, it’s their prerogative to decide not to take on a customer that may misuse their product in a way that might incur reputational harm.

Or it was their prerogative, until the Trump administration. Now even private companies must bend the knee.