" . . . lawsuit against the Trump Administration's export controls on Anthropic's Fable 5 model. I find the arguments in the complaint persuasive and add a few additional points as well.
1. The complaint makes several arguments. First, it argues that Commerce has not in fact taken the steps that would be required to export control Fable 5. For example, the Commerce Department has not in fact controlled the export of AI models, since it rescinded the Biden Administration's AI export controls in May 2025, and thus the "is informed" letter that Commerce sent Anthropic exceeds the ambit of what is actually controlled. Second, it argues (and I agree) that use of a model in the United States (e.g., on Anthropic's servers in the US) is not an export of the underlying AI software ("technology" or "source code")--there may be an export of the output of an AI model (e.g., a memo, or an app created by AI), but the AI software itself is staying in the US and not being exported. Third, insofar as Commerce would argue that it is imposing "interim controls" on an emerging technology, Commerce has failed to follow the procedural steps required to identify such a technology. 2. The complaint also argues that the controls would not be allowed under IEEPA, in case the Administration tries to invoke IEEPA as an alternative basis for the controls. Here, it basically argues (a) the Administration has not, in fact, invoked IEEPA (an obvious argument), and (b) that the type of output Fable 5 creates, at least in the context of the company bringing the suit (a legal tech firm), fall within IEEPA's exceptions for "information and informational materials." (I strongly agree with the plaintiff's IEEPA arguments). 3. The complaint invokes the "major questions doctrine," a big part of the February SCOTUS decision overturning Trump's IEEPA tariffs, arguing that if the Executive Branch wants to start regulating AI--clearly, the actual intent of the export controls--Congress needs to clearly authorize it to do so. 4. This lawsuit is important both for itself, and also more broadly for companies with an interest in the possible limits to a US government "kill switch" . . ."BREAKING - Fable 5 Returns... This Is Big
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