AI Company Anthropic is facing a trademark dispute in India with a local firm called Anthropic Software over the use of the same name.

Anthropic has been expanding its presence in India, opening an office last October and appointing Former Microsoft India Managing Director Irina Ghose to lead its operations.

This reflects India’s growing importance as a major market for global AI companies.

The conflict began when Anthropic Software filed a complaint in a commercial court in Karnataka in January.

The local company says it has been using the name since 2017 and claims Anthropic’s arrival has caused confusion among its customers.

It is asking the court to recognize its prior use of the name and is seeking ₹10 million (about $110,000) in damages.

Mohammad Ayyaz Mulla, the Founder of Anthropic Software, said his goal is not to fight but to protect his company’s identity and avoid confusion.

He explained that legal action is a last resort and that he hopes the issue can be resolved peacefully.

The court has issued a notice to Anthropic but has not granted any immediate restrictions.

The case is scheduled for further hearing on February 16. Anthropic has not publicly responded to the complaint.

India has become a key battleground for AI companies like Anthropic and OpenAI because of its large population and fast-growing internet market.

Major AI leaders, including Anthropic CEO Dario Amodei, OpenAI CEO Sam Altman, NVIDIA CEO Jensen Huang, and Google CEO Sundar Pichai, are also expected to attend an upcoming AI summit in New Delhi.