CNBC reported on June 24, 2026 that Anthropic sent a letter to the U.S. Senate Committee on Banking, Housing, and Urban Affairs accusing Alibaba of "brazenly" and "illicitly" attempting to extract its artificial intelligence capabilities.
What the June 10 letter says
- The letter was addressed to Sen. Tim Scott, R-S.C., and Sen. Elizabeth Warren, D-Mass.
- Anthropic said Alibaba carried out "the largest known distillation attack on Anthropic to date."
- CNBC explains distillation as an AI training method where a smaller, less capable model is built using outputs from an existing, stronger model.
- Anthropic said operators affiliated with Alibaba and its AI lab carried out 28.8 million exchanges with its models using roughly 25,000 fraudulent accounts between April 22 and June 5.
Anthropic's public response
- "We believe combating the threat of illicit distillation requires coordinated action between government and industry, and we will continue working with Congress and the Administration to maintain American AI leadership," an Anthropic spokesperson said in a statement cited by CNBC.
Policy context CNBC highlights
- The letter lands two months after the White House Office of Science and Technology Policy issued a memorandum pledging to help AI companies detect and coordinate against industrial-scale distillation.
- Anthropic wrote that in proceeding with its distillation attacks, Alibaba "ignored the Trump Administration's warnings."
- In February, Anthropic announced it had identified three "industrial-scale" distillation campaigns from DeepSeek, Moonshot, and MiniMax, encouraging collaboration across the AI industry, cloud providers, and policymakers.
Export-control backdrop in the same piece
- CNBC recounts that in recent weeks Anthropic's work with policymakers has been complicated after the Trump administration ordered suspension of foreign-national access to Fable 5 and Mythos 5, citing national security authorities without specifying the concern.
- Senior staffers flew to Washington to meet administration officials; Anthropic told CNBC both parties are working quickly to resolve the dispute but has not said when models will return online.
What CNBC reports about Alibaba's response
- A representative for Alibaba did not immediately respond to CNBC's request for comment.
- Bloomberg was first to report the letter, CNBC notes.
Primary source: CNBC — Anthropic accuses Alibaba of campaign to extract AI capabilities (June 24, 2026).