Everyone is assuming this isn't a positive outcome for Anthropic. Think about the optics: everyone was shitting on Anthropic for silently downgrading Fable. Now that is forgotten, they have a chance to spend a week or two revising their approach, then will come out with a "Gov't approved" version and life goes on.

Most importantly, Anthropic has been too "uppity" and needed to be put in their place by the powers that be. Power hates disruption. Restrictions, control (and investment) are defenses against transformative tech. Amazon needs Anthropic to bend the knee for their investment to have long term value - the sooner the better.

> Everyone is assuming this isn't a positive outcome for Anthropic

It’s not. Shitting on or not, Fable was being used and clearly folks were running up bills. This is political retribution against Anthropic, pure and simple. The fact that Anthropic may be able to spin that doesn’t change what it fundamentally is.