The government asks if they can rent your car. I hope we agree that you don’t have to say yes. (Specific exceptions exist to places of lodging etc.)
Anthropic is exercising their right to say no in the same way.
Also, that very much sounds like the government knows best and citizens should just trust it unconditionally.
Misunderstanding of what is happening. They have terms and conditions with their private property that anyone can choose to accept or decline. The DoD wants to them turn around and say these terms for a private company's contract around licensing of their private property are so egregious that the government and all government contract holders should be forced out of using any products by that company