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AI Giant Anthropic Hits Legal Snag in India Over Name Dispute

AI Giant Faces Identity Crisis in India

Just as Anthropic was making serious moves into India's booming tech market, a local software company has thrown a wrench in the works. Bengaluru-based Anthropic Software filed suit last week, claiming it's held rights to the name since 2017 - long before the American AI unicorn became a household name.

What's in a Name?

The Karnataka Business Court received papers alleging that customers have been confusing the two companies since the US firm began operations in India. "We've built our brand over seven years," said an anonymous source close to the Indian company. "Now clients think we're either copying them or are some subsidiary."

The lawsuit seeks 10 million rupees (about $110,000) for alleged economic damages. While the court hasn't granted an injunction that could halt Anthropic's operations, it did issue summons requiring representatives to appear on February 16.

Expansion Plans Continue

Despite the legal headache, Anthropic appears undeterred. The company recently brought on Irina Ghose, Microsoft India's former managing director, to spearhead local operations. CEO Dario Amodei still plans to attend next week's AI summit in Delhi - though he might need to field some awkward questions about the naming controversy.

India represents a crucial growth market for AI firms after North America and Europe. With its massive tech talent pool and rapidly digitizing economy, companies like Anthropic see huge potential despite regulatory complexities.

What Happens Next?

The court's decision not to impose immediate restrictions suggests this won't derail Anthropic's short-term plans. But trademark disputes can drag on for years - just ask Apple (which fought over "iPhone" trademarks in Mexico) or Tesla (which faced naming issues in China).

Legal experts note these cases often settle out of court through licensing agreements or financial compensation. But with both sides digging in their heels so far, this particular naming drama might have several acts left.

Key Points:

  • Trademark showdown: Local firm claims prior rights to "Anthropic" name since 2017
  • Expansion continues: US company presses forward with India office and high-profile hire
  • Next hearing: Court sets February 16 date after denying temporary injunction
  • Bigger picture: Case highlights challenges global tech firms face when expanding internationally

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