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Alibaba will ban employees from using Claude Code in workspace environments from July 10 due to alleged security risks involving embedded backdoors, a source familiar with the matter said.
Alibaba did not immediately respond to a request for comment.
The move was previously reported by Chinese financial news outlet Yicai.
Earlier, the US AI company Anthropic accused Alibaba, the Chinese technology and e-commerce giant, of illicitly extracting its Claude AI model capabilities in what it said was the largest known attack of its kind on the company, according to a letter seen by Reuters.
The strike by Alibaba is described as a "distillation" effort, which Anthropic has said involves training a less capable model on the outputs of a stronger one.
Anthropic said the campaign was conducted between April 22 and June 5, 2026, and generated more than 28.8 million exchanges with Claude through almost 25,000 fraudulent accounts.
Also Read: Bluspring Enterprises shares jump 10% after subsidiary bags ₹1,437 crore Vedanta contract
Anthropic said in the letter that distillation is a way to help accelerate China's ability to reach Anthropic's advanced Mythos Preview capabilities.
It said the campaign was conducted by operators affiliated with Alibaba and Alibaba Qwen, Alibaba's AI lab. Alibaba did not immediately respond to a request for comment.
The letter, dated June 10, was sent to Senators Tim Scott and Elizabeth Warren, the chair and ranking member, respectively, of the U.S. Senate Banking Committee, ahead of a scheduled hearing on AI.
In April, the White House accused China of stealing US AI labs' intellectual property on an industrial scale.
Anthropic said in the letter that it was supportive of the US government's efforts to combat the attacks, including partnering with private sector AI companies through threat intelligence sharing and other exercises.
Anthropic said in a February posting that it had identified a campaign by Chinese AI startup DeepSeek—whose low-cost AI model sent shockwaves through the technology world in January 2025 — and two other Chinese AI labs to illicitly extract capabilities from its Claude AI platform.
It said DeepSeek's operation involved over 150,000 exchanges, while Moonshot AI was at a scale of over 3.4 million and MiniMax over 13 million.
Alibaba did not immediately respond to a request for comment.
The move was previously reported by Chinese financial news outlet Yicai.
Earlier, the US AI company Anthropic accused Alibaba, the Chinese technology and e-commerce giant, of illicitly extracting its Claude AI model capabilities in what it said was the largest known attack of its kind on the company, according to a letter seen by Reuters.
The strike by Alibaba is described as a "distillation" effort, which Anthropic has said involves training a less capable model on the outputs of a stronger one.
Anthropic said the campaign was conducted between April 22 and June 5, 2026, and generated more than 28.8 million exchanges with Claude through almost 25,000 fraudulent accounts.
Also Read: Bluspring Enterprises shares jump 10% after subsidiary bags ₹1,437 crore Vedanta contract
Anthropic said in the letter that distillation is a way to help accelerate China's ability to reach Anthropic's advanced Mythos Preview capabilities.
It said the campaign was conducted by operators affiliated with Alibaba and Alibaba Qwen, Alibaba's AI lab. Alibaba did not immediately respond to a request for comment.
The letter, dated June 10, was sent to Senators Tim Scott and Elizabeth Warren, the chair and ranking member, respectively, of the U.S. Senate Banking Committee, ahead of a scheduled hearing on AI.
In April, the White House accused China of stealing US AI labs' intellectual property on an industrial scale.
Anthropic said in the letter that it was supportive of the US government's efforts to combat the attacks, including partnering with private sector AI companies through threat intelligence sharing and other exercises.
Anthropic said in a February posting that it had identified a campaign by Chinese AI startup DeepSeek—whose low-cost AI model sent shockwaves through the technology world in January 2025 — and two other Chinese AI labs to illicitly extract capabilities from its Claude AI platform.
It said DeepSeek's operation involved over 150,000 exchanges, while Moonshot AI was at a scale of over 3.4 million and MiniMax over 13 million.
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