Ep 803: Anthropic Continues Fable Fight, Microsoft Goes Open Source, Midjourney’s Big Pivot and More AI News That Matters

**SPEAKER_1** (0:01)
This is the Everyday AI Show, the Everyday Podcast where we simplify AI and bring its power to your fingertips. Listen daily for practical advice to boost your career, business, and everyday life.

**Jordan Wilson** (0:16)
While the US. Government and Anthropic continue trying to make up and be friends again, the rest of the AI world didn't stop. And it was actually some smaller players that were making big splashes this week, potentially signalling more competition at the top for the big four of Anthropic, OpenAI, Google, and Microsoft. That's because open source may finally be having its ChatGPT moment as a new Chinese model might actually be closing the gap between proprietary US models and open source or open weight options. Oh, and Midjourney made some news as well. Yeah, that Midjourney that you probably haven't heard from in years. That's because they may be trying to disrupt the medical imaging space. Yeah, there's a lot going on if you don't follow every single day. And don't worry, I do that for you. So, welcome to Everyday AI and this is our Monday segment where we bring you only the most relevant news updates. I tell you what matters, what doesn't, and how you can use that information to grow your company and career. This is Everyday AI. So, if you're new here, yeah, we do this every single day, daily, unedited, unscripted, livestream podcasts and free daily newsletters. So, if you are new, please make sure to subscribe to the show on Spotify or Apple Podcasts. We appreciate that. And then make sure you go to our website at youreverydayai.com. Sign up for the free daily newsletter each and every day. We recap the highlights from today's show, as well as give you all the other AI news you need to know just in a quick digestible form. All right. So, without further ado, let's go over the biggest stories of the week that you might have missed. And I'm going to break it down for you simply.
All right. Let's start at the top because yes, at least at the time of this recording, we still don't have access to Fable Five or Mythos Five at whole. That's because the Trump White House and Anthropic are still trying to make things work. So, actually, a little bit of a controversial statement, maybe, from President Trump as he told the Axios show on Friday that he considered Anthropic previously and or its CEO, Dario Amodei, to be a national security threat. Though he now believes this situation is improving. Yeah, he did say that. You might go on to listen to the interview yourself. We'll be linking it in today's newsletter. But he definitely say that he considered them a few weeks ago, whether he was talking about Anthropic as a whole or Dario Amodei, to be a national security threat, though it's now, he says, it's improving. So the US. Government, if you haven't been following along, the US. Government recently imposed strict export controls on Anthropic, barring any country outside of the US and for nationals within the US from accessing Anthropic's most recent models called Fable Five and Mythos Five. So Anthropic has completely disabled. In response to that, they disabled public access to those models, Fable Five, which is the version of Mythos Five with more guardrails. So yeah, but it's been down and gone now for almost a week since that export control.
So the directive bars any foreign nationals, including foreign national Anthropic employees from accessing these frontier systems. But because Anthropic can't instantly verify the exact citizenship of every single user on its platform, it was forced to yank both those models offline globally to remain compliant and that's been about a week. So according to Axios in this new interview and story, the Trump administration's concerns were triggered by the Amazon reports detailing the vulnerability in Anthropics technology.
And a lot of reports said that was their CEO, Andy Jassy, and that led to the urgent discussions with the company leadership.
Trump said he was initially alarmed by Anthropics' response, but was reassured after Amodei acted quickly and responsibly, calling him nice and smart after meeting him at the G7 summit this past week. So the Pentagon has labeled Anthropic a supply chain risk, a designation typically reserved for foreign adversaries, and it was the first time a US company had gotten that label from the US government. So Trump did not rule out using emergency powers under the Defense Production Act if Anthropic does not comply with new standards, but stated he doesn't think that step will be necessary this time.
Trump revealed that it was a competitor and part owner, identified later as Amazon, that alerted his administration about Anthropics practice. So we went over this in detail. FYI, if you missed the story, let me just go ahead and pull the episode number. That was from Thursday, Episode 801 So if you want more on the background on those developments, you go listen to that Episode 801 But at least for now, Mythos Five still offline. But the latest here, President Trump sat down with an interview with Axios. So yeah, if you missed that, definitely worth checking out.