Anthropic’s India expansion has run into legal trouble after a local software company filed a court complaint claiming it has used the “Anthropic” name for years, highlighting the challenges global AI firms face when entering emerging markets.

The dispute comes as Anthropic ramps up its presence in India, announcing a local office last October and appointing former Microsoft India managing director Irina Ghose to lead its operations. The moves signal India’s rising importance as AI companies expand beyond the U.S. and Europe.

Local Firm Claims Prior Use of the Name

In a complaint filed in a Karnataka commercial court in January and reviewed by TechCrunch, Anthropic Software said it has used the Anthropic name since 2017. The company argues that Anthropic’s India expansion has caused confusion among customers.

The Indian firm is seeking recognition of its prior use, relief to prevent further confusion, and damages of ₹10 million (around $110,000).

Founder and director of Anthropic Software, Mohammad Ayyaz Mulla said the company was not looking for confrontation but clarity. “As of now, I am exercising my legal right as it’s causing huge confusion to my customers,” he told TechCrunch, adding that litigation was a fallback option if coexistence could not be resolved.

India Emerges as a Key AI Battleground

The legal clash underscores how competitive India has become for global AI players. As part of the Anthropic’s India expansion, the company has deepened its engagement in the country just as rivals like OpenAI also push aggressively into the market.

India is set to host an AI Impact Summit in New Delhi next week, where Anthropic co-founder and CEO Dario Amodei is scheduled to appear alongside industry leaders including Sam Altman, Jensen Huang, and Sundar Pichai.

Court Issues Notice, Sets Next Hearing

According to a court order dated January 20 and reviewed by TechCrunch, the court has issued notice and suit summons to Anthropic. However, it declined to grant an interim injunction and scheduled the matter to return on February 16.

As the Anthropic’s India expansion continues, the case highlights how naming conflicts and local brand presence can complicate global AI growth strategies.