> it's also unprecedented for a contractor to suddenly announce their products will, from now on, be able to refuse to function based on the product's evaluation of what it perceives to be an ethical dilemma

That is a deeply deceptive description of what happened. Anthropic was clear from the beginning of the contract the limitations of Claude; the military reneged; and beyond cancelling the contract with Anthropic (fair enough), they are retaliating in an attempt to destroy its businesses, by threatening any other company that does business with Anthropic.