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- šØ US Military Ultimatum to Anthropic
šØ US Military Ultimatum to Anthropic
A Friday deadline to drop AI safety rules or face emergency powers.

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The US military is threatening Anthropic with severe consequences if the company does not drop its AI safety restrictions by Friday. Meanwhile, OpenAI has partnered with major consulting giants to bring autonomous AI agents directly into everyday corporate workflows. To top it all off, Anthropic is also accusing several Chinese startups of secretly extracting Claude's knowledge to train their own rival models.
Here's what's making headlines in the world of AI and innovation today.
In todayās AI Pulse
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šØ US Military ā Demands Unrestricted Claude AI
š¤ OpenAI ā Partners Launch Corporate AI Coworkers
šµļø Anthropic ā Claims Chinese Rivals Stole Knowledge
ā” Quick Hits ā IN AI TODAY
š ļø Tool to Sharpen Your Skills āš AIGPEĀ® 8D Problem Solving Specialist (Accredited)
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š§ The Pulse
U.S. Defense Secretary PeteāÆHegseth has given Anthropic a Friday deadline to remove safety restrictions from its Claude AI model for Pentagon use. At a meeting with CEO Dario Amodei, he threatened to label the company a supplyāchain risk and invoke the Defense Production Act if it refuses, with consequences.
šThe Download
Highāstakes ultimatum ā Following a meeting, the Defense Secretary told Anthropic to loosen safety guardrails on Claude for Pentagon use by Friday or risk being labeled a supplyāchain threat and banned from federal procurement
Anthropicās principles ā The company insists Claude must not be used for mass surveillance or autonomous weapons and urges the Pentagon to respect those safeguards. Claude is currently the only commercial AI cleared to handle classified data, including data exfiltration concerns
Legal tools threatened ā Officials say they could invoke the Defense Production Act or other emergency powers to force compliance and hint at fines and contract suspensions, raising the prospect of a confrontation between Silicon Valley and the national security apparatus
Policy precedent ā The clash underscores pressure on AI firms to balance safety with government demands. Analysts warn the outcome could shape future regulation, procurement standards and norms around ethical AI and national security.
š”What This Means for You
Growing government scrutiny means AI developers may face hard choices between ethics and compliance. For professionals, this highlights the importance of understanding your organisationās obligations and risk tolerance when deploying AI. Expect increased oversight and policy debates as authorities grapple with balancing innovation, safety and national security priorities in practice.
š§ The Pulse
OpenAI has formed its Frontier Alliances program by partnering with Boston Consulting Group, McKinsey, Accenture and Capgemini. The multiāyear alliances aim to bridge cuttingāedge research and realāworld deployment, bring agentic AI coworkers into mainstream corporate workflows and boost OpenAIās revenue from enterprise clients, accelerating transformation across industries rapidly.
šThe Download
Fourāfirm alliance ā OpenAI enlisted Boston Consulting Group, McKinsey, Accenture and Capgemini in a multiāyear program dubbed Frontier Alliances. The partners will coādevelop custom āAI coworkersā to automate tasks and drive insights tailored to sector needs.
Clear roles ā BCG and McKinsey will provide strategy and guidance to help executives identify highāimpact use cases and redesign workflows. Accenture and Capgemini will focus on integration, data engineering and fineātuning models for clients.
Enterprise expansion ā OpenAI aims to raise the share of revenue from corporate customers to half of its income by 2027. The program offers joint goātoāmarket resources, training and toolkits so clients can build and manage their own agentic AI platforms and accelerate reskilling.
Competitive ripple ā Analysts say the alliances intensify competition with traditional software vendors as companies increasingly evaluate AI agents as replacements for some applications. Success could accelerate adoption and force incumbents to rethink licensing models.
š”What This Means for You
Your future colleagues may be AIāpowered. Partnerships between OpenAI and consulting giants signal that agentic AI will soon permeate enterprise workflows. Professionals should stay open to working alongside digital coworkers, developing complementary skills, managing ethical considerations and understanding how automated agents might reconfigure daily responsibilities with continuous learning practices too.

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š§ The Pulse
Anthropic alleges Chinese AI startups DeepSeek, MiniMax and Moonshot made millions of API calls to its Claude model to extract knowledge and replicate it in rival systems. The alleged distillation could strip safety guardrails and deepen geopolitical frictions over intellectual property and AI ethics and may trigger lawsuits and sanctions.
šThe Download
Mass extraction ā Anthropic says three Chinese vendors issued millions of API requests to its Claude models, effectively scraping outputs and reasoning to train their own systems. DeepSeek, MiniMax and Moonshot were named.
Distillation tactics ā Model distillation uses a larger āteacherā model to generate training data for a smaller āstudent,ā mimicking behaviour and cutting costs but risking removal of safety features. It also threatens to remove teacher model guardrails.
Security and geopolitics ā Analysts warn that largeāscale knowledge extraction threatens innovation and erodes trust between U.S. and Chinese AI developers, raising questions about how to protect models and comply with export controls. Observers fear chilling research. National security experts worry about espionage.
Enterprise caution ā The incident underscores the need for companies to vet AI providers, demand transparency about data provenance and implement safeguards against misuse. Policymakers may push for stricter licensing or monitoring to deter crossāborder copying domestically.
š”What This Means for You
As AI models become valuable assets, protecting their outputs and training data grows essential. Professionals should ask vendors about security controls, data provenance and adherence to laws. Understanding distillation risks can guide responsible adoption and help safeguard your organisationās intellectual property and reputation in a globalised tech landscape in practice.
IN AI TODAY - QUICK HITS
ā”Quick Hits (60āSecond News Sprint)
Short, sharp updates to keep your finger on the AI pulse.
Googleās New āAgent Stepā Turns Static Workflows Into Conversational AI Journeys: Google has added an āagent stepā to its Opal platform, turning static workflows into interactive AI journeys. The new step automatically selects the right model and tool, stores memory, uses dynamic routing and builds a chat interface so tasks like interior design can be completed conversationally and lighten user workload.
OpenAI Hires People Chief to Guide Workforce in the AI Age: OpenAI has hired Arvind KC as its Chief People Officer. KC, a veteran of Roblox, Google, Palantir and Meta, will oversee hiring, development and retention as OpenAI scales. CEO Sam Altman says the appointment underscores a commitment to responsibly transitioning employees as AI transforms work and corporate culture for employees.
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