If applicants for an elite college or internship program at a FAANG company were found to have colluded in this way to cheat on a test/interview, I suspect that it would be a pretty major scandal.

Why should we let equivalent fraudulent behavior from a non human system - that explicitly shouldn’t do this - slide?

I'm not saying it should be let to slide, but I'm not a fan of the hyperbole surrounding this event. They've already faced significant heat for the HF incident, I think they've learned their lesson. But this is now just being used to drum up fear, which can only mean one thing: Less access for you, more access for the privileged class. The biggest threat we face is centralization of power. OpenAI are one of the good ones because they're actually pushing for everybody to have a fair share of access to the frontier, not just a small privileged elite of billionaires, politicians and megacorp executives. If Anthropic got their way, we'd all be using a censored watered down slop-pistol while they swallow the Earth's economy and enslave us all. I'm sure they'll be investing considerable resources into ensuring that this "news" makes the mainstream media cycle as prominently as imaginable.