Chinese tech giant Alibaba has reportedly told its employees to stop using Anthropic's Claude Code, the AI coding assistant built on the Claude family of models.

According to TechCrunch, Alibaba has classified Claude Code as high-risk software. Reports from China Daily and Seeking Alpha similarly describe the company barring internal use of Anthropic's Claude, signaling a firm-wide restriction rather than a limited pilot.

The sources here confirm the restriction itself but do not spell out Alibaba's specific reasoning beyond the high-risk designation cited by TechCrunch. Anthropic, the U.S. company behind Claude, and Alibaba are competitors in the fast-moving AI market, and Alibaba develops its own family of models.

Claude Code is a tool that lets developers use an AI assistant to write, edit, and debug software directly in their workflow. For a company the size of Alibaba, employing large engineering teams, a decision to block such a tool internally is notable both for its scale and for what it suggests about how major firms are weighing the use of rival companies' AI products.

The move also fits a broader pattern of caution around cross-border AI tools, where questions of data security, intellectual property, and reliance on a competitor's infrastructure increasingly shape corporate policy. TechCrunch characterized the report as unconfirmed by an on-the-record company statement in the material available.

Why it matters: as AI coding assistants become standard tools inside big tech companies, decisions about which ones employees may use are becoming strategic — and Alibaba's reported ban shows those choices are now drawn along competitive and security lines.