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US Government Halts Anthropic’s Claude Fable 5 and Mythos 5 Over Export‑Control Concerns

US Government Halts Anthropic’s Claude Fable 5 and Mythos 5 Over Export‑Control Concerns Wired AI
Anthropic took its latest AI models, Claude Fable 5 and Mythos 5, offline this week after the White House issued an export‑control order barring foreign nationals from accessing the services. The directive, announced Friday, cites the models’ ability to locate software vulnerabilities and devise exploits as a national‑security risk. Anthropic, which has been negotiating with officials since the order’s release, says the models were launched under strict guardrails but could be stripped of those protections. Industry experts warn the move signals a broader clash between rapid AI advances and government regulation. Read more

Users Question ChatGPT's Low Price as Costs Rise

Users Question ChatGPT's Low Price as Costs Rise TechRadar
OpenAI’s ChatGPT subscriptions have stayed at $20 for Plus and $200 for Pro since their launch, even as the chatbot’s capabilities have expanded dramatically. A growing chorus of users now argues the service is underpriced, pointing to the massive compute power and data‑center expenses required to run the models. OpenAI executives have acknowledged that the Pro tier loses money, fueling the debate about whether the current pricing reflects true costs or a market‑share strategy. Read more

SpaceX to Acquire AI Coding Firm Cursor for $60 B in Stock

SpaceX to Acquire AI Coding Firm Cursor for $60 B in Stock Engadget
SpaceX announced an all‑stock deal to buy AI startup Cursor for $60 billion, finalizing a partnership first outlined in April. Cursor, known for its eponymous AI‑driven coding assistant, had been courting $2 billion in fresh capital from investors such as Andreessen Horowitz and NVIDIA, though that money would not have covered its operating shortfall. The acquisition gives SpaceX a foothold in the artificial‑intelligence arena as it seeks to revamp its troubled xAI division, which has faced ethical controversies and a mass exodus of senior staff. Read more

SpaceX to Acquire AI Coding Platform Cursor for $60 B in All‑Stock Deal

SpaceX to Acquire AI Coding Platform Cursor for $60 B in All‑Stock Deal Ars Technica2
SpaceX announced an all‑stock transaction to buy AI‑driven coding tool Cursor for $60 billion, with the deal slated to close in the third quarter. The acquisition follows SpaceX’s recent IPO and its merger with xAI, marking a major restructuring move for the aerospace firm. Cursor, a Visual Studio Code‑based IDE that embeds large‑language‑model features, has seen rapid revenue growth but faces stiff competition from rivals such as Anthropic’s Claude Code. The deal gives Cursor access to xAI’s compute resources and joint model‑training initiatives. Read more

Leaked Documents Reveal OpenAI’s Revenues Surge While Losses Expand

Leaked Documents Reveal OpenAI’s Revenues Surge While Losses Expand Ars Technica2
Newly obtained financial statements show OpenAI’s revenue climbing from $3.7 billion in 2024 to $13.07 billion in 2025, yet research and development costs, sales and marketing spend, and compute expenses pushed its operating loss to $20.92 billion. The data, supplied to journalist Ed Zitron and reviewed by the Financial Times, arrives as the company files SEC paperwork ahead of an anticipated initial public offering, highlighting a business still far from profitability despite rapid top‑line growth. Read more

Probably Secures $9 Million Seed Round to Tackle AI Hallucinations

Probably Secures $9 Million Seed Round to Tackle AI Hallucinations TechCrunch
AI startup Probably announced a $9 million seed investment led by Andreessen Horowitz. Founder Peter Elias says the funding will fuel development of a data‑science platform that pairs large language models with a deterministic validator, aiming for near‑perfect accuracy and the ability to run on desktop hardware. The approach promises to curb hallucinations and lower token costs for precision‑sensitive use cases such as accounting and medical analytics. Read more

ChatGPT’s market share falls below 50% as rivals gain ground

ChatGPT’s market share falls below 50% as rivals gain ground TechCrunch
For the first time since its launch, OpenAI’s ChatGPT slipped below the 50% market‑share threshold, according to Sensor Tower’s State of AI Report for 2026. The shift follows a surge in Google’s Gemini and Anthropic’s Claude, which together lifted the competitive landscape to a more fragmented state. While ChatGPT still tops the global rankings with more than 1.1 billion monthly users, its share dropped to 46.4% by the end of May, reflecting a broader trend of users switching between AI assistants and a growing emphasis on monetization across the sector. Read more

Anthropic and White House Remain at Odds Over Claude Fable 5 Export Controls

Anthropic and White House Remain at Odds Over Claude Fable 5 Export Controls Wired AI
Anthropic executives flew to Washington, D.C., on Monday for high‑level talks with the White House and Commerce Department, but the dispute over export controls on the company’s latest AI model, Claude Fable 5, ended without a resolution. Officials still believe the model’s guardrails can be bypassed, potentially exposing powerful cybersecurity capabilities, while Anthropic maintains the risk is overstated. The impasse follows a rapid government response to alleged jailbreak vulnerabilities and adds to the firm’s ongoing battle with the Pentagon over military use of its technology. Read more

DOJ Defends xAI Turbines, Cites National Security in NAACP Lawsuit

DOJ Defends xAI Turbines, Cites National Security in NAACP Lawsuit Wired AI
The Justice Department stepped into a lawsuit filed by the NAACP over Elon Musk's xAI operating unpermitted natural‑gas turbines at its Colossus 2 data center in Southaven, Mississippi. In a filing, the DOJ argued that shutting down the turbines would jeopardize U.S. national, economic and energy security because the AI models they power support classified military missions, including recent strikes against Iran. The civil rights group contends the turbines violate the Clean Air Act and threaten public health in a region already burdened by pollution. Read more

Anthropic Faces Class Action Over Alleged Misleading Claude Max Subscription Limits

Anthropic Faces Class Action Over Alleged Misleading Claude Max Subscription Limits CNET
Anthropic, the maker of the Claude AI assistant, has been sued in a proposed class action alleging that its Max 5x and Max 20x subscription tiers promise usage caps that far exceed what customers actually receive. Plaintiff Karl Khan claims the $100‑ and $200‑per‑month plans fall short of advertised multipliers, prompting users to buy additional credits. The complaint, filed in the U.S. District Court for the Northern District of California, seeks class‑action status for all subscribers since April 2025 and cites damages exceeding $5 million. Read more

Anthropic Scrambles After U.S. Export Controls Halt Access to Claude Mythos 5 and Fable 5

Anthropic Scrambles After U.S. Export Controls Halt Access to Claude Mythos 5 and Fable 5 The Verge
Anthropic received a last‑minute directive from the Trump administration on Friday, ordering the company to block foreign‑national access to its newest AI models, Claude Mythos 5 and Fable 5. The move forced the San Francisco‑based lab to suspend the products it had just begun promoting and prompted senior executives to fly to Washington for emergency talks. The dispute, sparked by concerns over a reported jailbreak and possible Chinese involvement, could reshape the regulatory landscape for American AI firms. Read more

OpenAI’s $34 Billion 2025 Spend Highlights Massive Road to $1 Trillion IPO

OpenAI’s $34 Billion 2025 Spend Highlights Massive Road to $1 Trillion IPO The Next Web
OpenAI disclosed that it spent $34 billion in 2025, more than double its $13 billion revenue, as the company prepares a confidential filing for an initial public offering that could value it at up to $1 trillion. The bulk of the outlay went to research and development and sales, while a $122 billion funding round earlier this year gave the firm a valuation of $852 billion. Investors such as SoftBank and Nvidia continue to back the AI leader, even as the firm’s net loss swells to roughly $39 billion. The numbers provide a first look at the financial picture prospective shareholders would inherit. Read more

Ineffable AI Lab Partners with Google Cloud for Massive Superlearner Cluster

Ineffable AI Lab Partners with Google Cloud for Massive Superlearner Cluster The Next Web
London‑based Ineffable Intelligence, the startup founded by DeepMind veteran David Silver, announced a partnership with Google Cloud to run one of the largest AI clusters ever built. The deal, unveiled at Google Cloud’s London summit on June 16, will see the lab using Google’s A5X instances powered by Nvidia’s upcoming Vera Rubin GPUs. Silver said the integrated AI Hypercomputer architecture was essential for his “superlearner” research, which aims to teach machines knowledge through experience rather than static data. The move positions Ineffable at the heart of Europe’s frontier AI push. Read more

France Allocates €655 Million to Build Sovereign AI Chatbot for Civil Service

France Allocates €655 Million to Build Sovereign AI Chatbot for Civil Service The Next Web
French Prime Minister Sebastien Lecornu announced on Monday an extra €655 million for artificial‑intelligence projects, the centerpiece of which is a sovereign chatbot for the nation’s civil service. The digital assistant will be available to roughly one million public employees, helping them process routine paperwork, streamline judicial steps and aid researchers with grant applications. By keeping the technology under French control, the government aims to modernize administration while reducing reliance on foreign AI providers. Read more

Anthropic Halts Access to Fable 5 and Mythos 5 After U.S. Export Controls Cited

Anthropic Halts Access to Fable 5 and Mythos 5 After U.S. Export Controls Cited CNET
Anthropic announced it is shutting down its newest AI models, Fable 5 and Mythos 5, after the U.S. Department of Commerce imposed export controls following a reported jailbreak that could bypass the models' safety safeguards. The company said the government notified it on Friday that a vulnerability had been demonstrated, forcing a complete suspension of the services for all foreign nationals. Anthropic disputes the severity of the issue and argues the move could stall progress on frontier AI, while officials in Washington remain tight‑lipped. Read more

Anthropic Faces Class‑Action Lawsuit Over Claude Max Subscription Limits

Anthropic Faces Class‑Action Lawsuit Over Claude Max Subscription Limits Engadget
A Washington, D.C. resident has filed a federal lawsuit accusing Anthropic of misleading customers about the usage caps of its Claude Max subscription tiers. The plaintiff, Karl Kahn, claims the Max 5x and Max 20x plans deliver far less computing power than the company advertises, prompting a request for class‑action status on behalf of other U.S. users. Anthropic has not commented on the allegations. Read more

Federal Judge Dismisses xAI Lawsuit Against OpenAI With Prejudice

Federal Judge Dismisses xAI Lawsuit Against OpenAI With Prejudice Engadget
U.S. District Judge Rita F. Lin ruled on Monday that xAI's claim that OpenAI stole trade secrets is dismissed with prejudice, barring the startup from refiling. The decision follows a February dismissal and an amended complaint that still failed to show a link between OpenAI and alleged employee misappropriation. The case, first filed in September 2025, adds to a string of legal clashes between Elon Musk’s AI ventures and OpenAI, including a recent jury verdict on a separate contract dispute. Read more

Anthropic Shuts Down Fable 5 and Mythos 5 Models After White House Order, Sparking Global AI Sovereignty Push

Anthropic Shuts Down Fable 5 and Mythos 5 Models After White House Order, Sparking Global AI Sovereignty Push The Verge
Anthropic took its latest AI models, Fable 5 and Mythos 5, offline over the weekend after the White House demanded the company block access for all foreign nationals, including its own staff. The abrupt move, described by Anthropic as having "little choice," triggered swift reactions in Europe and Canada, where officials warned that reliance on U.S. frontier AI poses a strategic risk. Leaders in the United Kingdom, France and Canada cited the shutdown as a catalyst for building domestic AI capabilities, while U.S. officials hinted the decision was tied to concerns about Chinese access to the models. Read more

White House Orders Anthropic to Halt Access to New AI Models Fable 5 and Mythos 5

White House Orders Anthropic to Halt Access to New AI Models Fable 5 and Mythos 5 The Verge
The U.S. government instructed Anthropic to block foreign access to its latest AI models, Fable 5 and Mythos 5, just days after their launch. Citing concerns that the models could be manipulated for cyber‑attack purposes, the directive forced the company to shut the services for all users, including its own staff. Anthropic complied while disputing the need for a recall. The move sparked alarm in Europe and Canada, where officials warned that reliance on U.S. frontier AI could threaten national security and urged domestic development. Read more

Anthropic to Meet Commerce Department in Washington Over Suspended Fable 5, Mythos 5 Models

Anthropic to Meet Commerce Department in Washington Over Suspended Fable 5, Mythos 5 Models The Next Web
Anthropic’s senior technical staff will sit down with U.S. Commerce Department officials on Monday in an effort to resolve the escalating dispute surrounding the government‑ordered suspension of its Fable 5 and Mythos 5 AI models. The clash began after a jailbreak vulnerability was uncovered, prompting export‑control letters and a global shutdown that has drawn criticism from cybersecurity experts, spurred a Chinese competitor’s launch, and heightened tensions between Silicon Valley and the Trump administration. Read more