Chris McGuire, former civil servant in State and the Biden White House now at CFR, talk about the export control craziness of these past two weeks. We discuss: The 5:21 PM letter that took the world&#x27;s most powerful model offline Why the &quot;let it rip&quot; administration pivoted to mandatory AI regulation overnight The incoherent export-control regime: regs that still say one thing while policy says another The overseas-subsidiary loophole, the Sunday emergency fix, and the foundry gap still left open outtro music: https://suno.com/s/UVeDiboPyj0jvIgO Learn more about your ad choices. Visit megaphone.fm/adchoices

Emergency Pod: Claude Fable Fried + What's Going on at BIS?

ChinaTalk

# Full Transcript

**Podcast:** ChinaTalk

## Participants

- **Jordan Schneider** (ChinaTalk)
- **Chris McGuire** (None)

## Transcript

My Mayor Muslim, My Bagel Jewist, Fable is Fried Nixon Five, Congratulations to the New York Knickerbockers and the City of New York on their first championship in 53 years and a hearty, perhaps message of concern for the Trump administration's Bureau of Industry and Security and Commerce which has been taking care of America's lead about as well as De'Aaron Fox took care of the basketball over the past two weeks

to disrupt why Trump took Fable offline, what's going on with chip AI loopholes and what this all means for the future of AI development in America and beyond. We're joined today by Native New Yorker and long-time State Department and White House civil servant covering AI chips and whatnot. You know him, you love him, Jordan Schneider! Welcome back to the show. I've been a Knicks fan much longer than I've been any of those things so that's the most important thing right now.

But yeah, you're urging, had to wear the jersey to celebrate so I won't be taking it off for at least a week or until it smells. So just a brief recap, we recorded a model talk on Thursday or Friday of last week where we were all talking about our Fable impressions, Anthropics latest model.

Now we have a nice little note when you go to Claw.ai saying Mythos Fable 5 is currently unavailable. Now why is that? Still sort of unclear, but the facts that we know is at some point on Thursday, Andy Jassy gets on the phone with someone in the Trump administration and says, hey, there's something fishy about this whole Clawed model.

We found some jailbreaks which can do something to have you get access to some capabilities which Anthropics didn't want the world to have access to. There was some sort of communication between Anthropics and various corners of the Trump administration. And then at 521, we get a new export control in which I hand over the reins of this narration to Chris.

So what did that, you know, what did Commerce put out and what were the implications? Yeah, so there was a is informed letter that was some of the details are still, you know, not publicly reported, but basically an is informed letter. So it was a private letter that was sent to Anthropic that one way or another regulated seemingly the export of the model,

the remote access of the model or the, you know, the ability to access the model via an API from other countries or from foreign nationals inside the United States. So of these, you know, obviously the Commerce Department has regulated the export of models before in the Biden administration. The Trump administration actually, interestingly, is not enforcing those particular export controls, but now is introduced these.

The authority to regulate foreign persons is called a deemed export control. It's something that in the Biden administration, we actually generally exempted most of the emerging tech con...

Emergency Pod: Claude Fable Fried + What's Going on at BIS?

Transcript

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Emergency Pod: Claude Fable Fried + What's Going on at BIS?

Transcript

Built for investment professionals

Every day you wait, your competitors are findingedge in conversations you're not hearing.

Every day you wait, your competitors are finding
edge in conversations you're not hearing.