The morning briefing.
While you slept: Anthropic secures a controversial NSA deal, Apple signals major AI plans with a new subdomain, and Deepseek slashes model pricing permanently.
AI Policy & National Security. Anthropic is reportedly set to continue supplying its Claude AI models to the NSA, despite a Pentagon assessment flagging the company as a supply chain risk. This highlights the complex balance between national security needs and procurement concerns, especially as intelligence agencies seek advanced AI capabilities. The deal proceeds without the controversial "any lawful use" clause, indicating a tailored agreement. Meanwhile, the full extent of the SolarWinds hack's impact on government systems is still being revealed, underscoring persistent cybersecurity vulnerabilities.
AI Innovation & Cost Efficiency. Researchers have demonstrated that AI coding agents, such as Claude Code, can independently discover novel AI scaling algorithms, potentially cutting compute costs significantly. This breakthrough, achieved for a mere $40 and 160 minutes, suggests a new paradigm for optimizing AI development. Concurrently, Deepseek has made its 75 percent discount on its V4-Pro model permanent, offering output tokens at a fraction of GPT-5.5's price, which could intensify competition in the agentic systems market. Apple is also gearing up for major AI announcements, registering a new 'gen AI' subdomain ahead of WWDC, with rumors pointing to AI-enhanced features in iOS 27's Camera and Photos apps.
Advanced Computing & Robotics. Europe is accelerating efforts to deploy the first Petabit-class submarine cable before 2030, driven by the escalating demands of AI workloads and a race against Meta and Japan. This infrastructure push is critical for global internet expansion and high-capacity data transfer. In quantum computing, scientists are making strides by embracing quantum noise in silicon photonic chips and developing the world's first rack-mounted quantum computer, making advanced systems more accessible. Furthermore, Nuro is positioning itself as a "second mover" in the robotaxi space, aiming to leverage lessons from early entrants, while Navantia has launched a crewless warship, signaling advancements in autonomous naval technology.
Anthropic to supply Claude to NSA despite Pentagon supply chain risk flag
Anthropic will likely continue providing AI models to the NSA, even after the Pentagon identified it as a "supply chain risk." This arrangement is reportedly facilitated by Anthropic's "Mythos" model, which can run on older hardware, addressing intelligence agencies' lack of Nvidia's latest Grace Blackwell chips.
Claude Code discovers AI scaling algorithms humans probably wouldn't design
Researchers used a coding agent, AutoTTS, to autonomously discover control algorithms for AI reasoning, cutting compute by about 70 percent while maintaining accuracy. This discovery, made for $40 and 160 minutes, suggests AI can optimize its own scaling more efficiently than human designers.
Don't leave model selection on default in Copilot, Gemini, and other AI tools
Mathematician Adam Kucharski found that Microsoft Copilot invents country differences when analyzing identical datasets, delivering stereotypes instead of accurate results. Users must manually select more robust models to avoid such biases and ensure data integrity.
Apple registers new ‘gen AI’ subdomain ahead of next month’s WWDC keynote
Apple has registered genai.apple.com, signaling significant AI announcements expected at WWDC 2026. This move suggests the company is preparing to fulfill previous AI promises and unveil new generative AI features.
iOS 27 rumored to feature upgraded Camera interface and AI-enhanced Photos app
Rumors suggest iOS 27 will bring a redesigned Camera app and new AI-enhanced editing tools to the Photos app. These updates build upon last year's iOS 26 redesign, focusing on advanced computational photography.
Deepseek makes 75 percent discount permanent, pricing output tokens 34x below GPT-5.5
Deepseek has permanently reduced the price of its V4-Pro model by 75 percent, making it significantly cheaper than GPT-5.5 for both input and output tokens. This aggressive pricing strategy could put pressure on Western AI providers, especially for agentic systems.
Europe races Meta and Japan to launch first Petabit-class submarine cable
Europe is accelerating the development of the IOEMA-1 submarine cable to achieve Petabit-class capacity before 2030, driven by exploding AI demand. This initiative aims to advance Northern European subsea cable infrastructure amidst global competition.
OpenClaw passed 300,000 GitHub stars. Then Google launched Spark.
OpenClaw, an always-on agent, gained significant traction by making personal AI accessible on devices like the Mac mini, reaching 300,000 GitHub stars. Its popularity highlights a demand for localized, tangible AI agents, now facing competition from Google's Spark.
Ferrari is using IBM’s AI to create F1 superfans
Scuderia Ferrari HP is collaborating with IBM to redefine the Formula 1 fan experience using AI. This partnership aims to deepen fan engagement and create "superfans" through personalized interactions and data analysis.
Ayaneo reveals another Game Boy remake, this one with AI features
Ayaneo has unveiled the Konkr Pocket Block, a new Game Boy-inspired vertical handheld that is smaller than previous models and incorporates AI features. This device aims to blend retro gaming aesthetics with modern artificial intelligence capabilities.
Scientists use quantum noise to build silicon photonic chip that embraces chaos
Researchers have developed a silicon photonic chip that leverages quantum noise by using deliberate photon loss channels to study real system behavior. This innovative approach turns "imperfection itself into an asset" for quantum computing applications.
The world’s first rack-mounted quantum computer is here
Equal1 has introduced RacQ, the world's first rack-mounted quantum computer, designed to fit into a standard Dell frame for easy deployment. This system operates at extremely low temperatures and aims to make quantum computing more accessible to customers.
Nuro thinks being a robotaxi ‘second mover’ gives it an advantage
Nuro, a delivery robot company, believes its strategy as a "second mover" in the robotaxi market offers an advantage over pioneers like Waymo. The company aims to leverage lessons learned from early entrants after pivoting to robotaxis in 2024.
Navantia floats crewless warship, a 75-meter drone vessel
Spanish shipbuilder Navantia has launched a 75-meter crewless warship, equipped with sensors and modular payloads but no room for sailors. This drone vessel represents a significant advancement in autonomous naval technology.