US government deploys AI for mass surveillance, buying data from brokers to track Americans

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The US government is purchasing massive amounts of personal data from commercial data brokers and using AI to analyze it at scale. LLMs could enable intelligence agencies to build detailed profiles of individual Americans in a fraction of the time and cost. Recent contract disputes between Anthropic and the Department of Defense highlight growing concerns about AI-enabled mass surveillance potentially constituting crimes against humanity.

LLMs Transform Government Surveillance Capabilities

The US government is rapidly expanding its mass surveillance infrastructure by purchasing personal data from commercial data brokers and deploying AI to analyze vast datasets on American citizens

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. Data brokers compile web searches, financial records, and location data from millions of individuals and sell them to various clients, including government agencies. LLMs could fundamentally change how this information gets used, enabling intelligence analysts to process bulk data in a fraction of the time and cost previously required

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Source: The Conversation

Source: The Conversation

"A lot of what we think of as privacy protection isn't so much like something that's written in the law," says Karen Levy, a professor of information science at Cornell University. "It just has to do with how hard or how expensive it is to learn stuff about people"

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. Powerful LLMs are eliminating those practical barriers that once served as de facto privacy protection.

Anthropic Refuses DOD Deal Over Surveillance Concerns

Contract negotiations between Anthropic and the US Department of Defense collapsed in late February when the DOD demanded leeway to use the company's models to analyze commercially available data on US citizens

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. When OpenAI agreed to a similar DOD deal mere hours later, the company faced immediate public backlash, forcing OpenAI and the DOD to revise contract terms under pressure

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Dario Amodei, Anthropic's CEO, had previously argued in a January essay that AI-enabled mass surveillance could constitute a crime against humanity

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. The core concern was that government surveillance agencies might use LLM-based systems like Claude to build detailed profiles of individual Americans at scale by analyzing reams of data obtained from brokers.

Legal Loopholes Enable Purchasing Personal Data

The Fourth Amendment protects Americans from unreasonable government searches, requiring warrants for direct data collection. However, a legal loophole allows the government to bypass these restrictions by purchasing personal data that private companies have already collected

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. When agencies buy bulk data from brokers, they aren't conducting the search themselves—they're exploiting searches already performed by data collectors

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While broker-sold data is often stripped of obvious identifiers, it's not difficult to de-anonymize. A 2019 New York Times investigation found that individual phone owners could often be identified by noting their apparent work and home locations in supposedly anonymous location data

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. Law enforcement has already used ostensibly anonymized location data to tie people to specific crimes.

Department of Homeland Security Expands AI Surveillance

The Department of Homeland Security received an unprecedented $165 billion in yearly funding from the massive 2025 tax-and-spending law, with Immigration and Customs Enforcement receiving approximately $86 billion

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. DHS is expanding AI-powered surveillance technologies through a surge in contracts to private companies for AI-automated surveillance in airports, adapters converting agents' phones into biometric scanners, and AI platforms acquiring all 911 call center data to build geospatial heat maps for predictive policing

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Source: Fast Company

Source: Fast Company

DHS has spent millions on AI-driven software for sentiment analysis, detecting emotion in users' online posts

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. Social media companies including Google, Reddit, Discord, and Meta have sent identifying data—names, email addresses, phone numbers, and activity—to DHS in response to hundreds of subpoenas

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Surveillance Capitalism Feeds Government Data Collection

Surveillance capitalism has created a vast ecosystem where companies unilaterally collect data from most daily activities, often unrelated to the services they provide

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. Your car's sensors record speed, driving patterns, destinations, conversations, and biological metrics including facial expressions and heart rate. Phones continuously track communications, health information, app usage, and location via cell towers, GPS satellites, Wi-Fi, and Bluetooth

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Source: MIT Tech Review

Source: MIT Tech Review

This data quickly becomes commercially available through data brokers, and privacy law concerns are mounting as the Trump administration's national policy framework for artificial intelligence urges Congress to allow industry and academia to use federal datasets containing sensitive biographical, employment, and tax information to train AI

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. The line between lawful national security purposes and unlawful domestic spying continues to blur with little oversight

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