Microsoft had its biggest-ever Patch Tuesday with over 200 fixes, including at least a couple dozen zero days, reportedly using Anthropic's Mythos model.
TWiT 1088: Model Not Available - Anthropic's Fable Shutdown & Apple's Siri Update
The US government gave Anthropic 90 minutes to pull its most advanced AI model offline — and the company says it never received details about the actual threat.
This Week in Tech (Audio)
TWiT 1088: Model Not Available - Anthropic's Fable Shutdown & Apple's Siri Update
The US government gave Anthropic 90 minutes to pull its most advanced AI model offline — and the company says it never received details about the actual threat.
TL;DR
The US government forced Anthropic to pull its flagship Fable 5 AI model offline in June 2026 after jailbreak claims from Amazon — a dramatic clash that raises urgent questions about who should regulate frontier AI [1] — Leo Laporte "The Trump administration gave Anthropic 90 minutes to take its most advanced AI model offline, citing jailbreak reports from Amazon — Anthr…" 02:10 . SpaceX completed a record-shattering $1.77 trillion IPO [2] — Richard Campbell "SpaceX became the largest IPO in history with a $1.77 trillion valuation — but Richard Campbell argues it's less about space, AI, or Starli…" 46:04 , while Apple debuted a revamped Siri at WWDC with Gemini under the hood and new child-safety defaults [3] — Harry McCracken "Apple is paying Google $1 billion a year to use Gemini's LLM — not the Gemini app — while running its own 3B and 20B on-device Apple Founda…" 1:59:15 . From North Korean hackers dominating US tech intrusions to 57,000 fake drug-pushing Spotify podcasts [4] — Leo Laporte "North Korean hackers: 47% of tech intrusions: A CrowdStrike report found North Korean hacking group Famous Chollima accounted for 47% of al…" 2:13:00 , it was one of the most consequential tech weeks in recent memory. The single most useful takeaway: government intervention without genuine technical expertise is a dangerous precedent for AI governance [5] — Christina Warren "In some ways, not having this here is creating scarcity, it's making people want it even more." 19:09 .
TWiT 1088 covers the forced shutdown of Anthropic's Fable 5 AI model by the Trump administration, SpaceX's record $1.77T IPO, Apple's revamped Siri at WWDC, and a full slate of tech news including North Korean hacking dominance, fake Spotify drug podcasts, German AI liability ruling, FCC burner phone crackdown, and the iFixit Trump Phone teardown.
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Leo Laporte opens TWiT episode 1088 on June 14th, 2026, welcoming a strong panel: Christina Warren from GitHub and MacBreak Weekly, tech historian Harry McCracken from Fast Company, and Richard Campbell from Windows Weekly and .NET Rocks. Leo immediately signals this will be an extraordinary episode — three massive stories in one week — teasing Fable 5's takedown, SpaceX's IPO, and Apple's new Siri, noting that in any normal week, any one of these would dominate.
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Leo walks the panel through the origins of Fable 5, starting with Mythos — the model Anthropic deemed too dangerous to release publicly because of its ability to find zero-day software exploits and potential bioweapon applications. Rather than release Mythos, Anthropic created Project Glasswing, distributing Mythos to 50 major companies including Microsoft to patch bugs, with Microsoft's record 200+ fix Patch Tuesday as apparent evidence of its power. Fable 5 is Mythos with safety layers: classifiers blocking cybersecurity and bioweapon queries, anti-distillation protections to stop Chinese firms from extracting its capabilities, and adversarial robustness statistics showing a jailbreak success rate of just 5.4% versus 83% for Claude Opus 4.6. Leo describes using the model himself to analyze a decade-old sales system, finding SQL injection flaws — and then noticing it silently downgrading to Opus 4.8 when queries triggered classifiers.
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The story reaches its climax when Leo describes the Friday afternoon the model simply vanished. Politico's reporting provides the most detailed account: Trump personally called Amazon CEO Andy Jassy to ask whether Fable was safe; Amazon reportedly said they'd found a jailbreak, prompting White House alarm. Multiple tense calls followed between Anthropic CEO Dario Amodei and Treasury Secretary Bessent, Cyber Director Cairncross, and Chief of Staff Susie Wiles. The administration said it tried to reach Amodei while he was at a 'wellness retreat' — a characterization Anthropic flatly denied, saying he was on calls within 90 minutes. The Commerce Department ultimately invoked export controls citing national security, banning use by foreign nationals, leaving Anthropic — whose own scientists include many non-citizens — with no option but to shut the model down. The White House gave 90 minutes with no details about the actual threat.
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The panel tears into the layers of the story. Christina Warren immediately flags the central irony: it was Amazon — Anthropic's $13B investor and primary cloud partner — that provided the jailbreak report. She expresses deep discomfort with any government making such decisions without technical expertise. Harry McCracken notes that Anthropic is uniquely the major US AI company that has done the least political outreach to Trump, contrasting with Greg Brockman's $50M MAGA donation and Sam Altman's White House attendance — and asks what would have happened if it had been an OpenAI model. Pete Hegseth's X post claiming the Department of War expelled Anthropic months ago complicates administration claims that this was purely a security decision. Richard Campbell and Christina Warren converge on a darkly funny thesis: the forced shutdown may be the best pre-IPO marketing Anthropic never bought — a government declaring their model too powerful to be used. The conversation closes on the deeper question of who to trust when neither the government nor the company has earned unconditional faith.
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Leo delivers the Meter ad read, describing the company as a full-stack networking solution that designs hardware, writes firmware, builds software, manages deployments, and provides ongoing support. The pitch emphasizes Meter's reliability across demanding environments — hospitals, warehouse networks, large campuses — with Reddit's data centers cited as a reference customer. Meter handles wired, wireless, cellular, SD-WAN, DNS security, VPN, and power. Listeners are directed to meter.com/twit to book a demo.
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The panel pivots to the SpaceX IPO — the largest in history — with $75 billion raised, a $1.77 trillion valuation, $250 billion in demand, and Elon Musk now wealthier than the GDP of most nations. Richard Campbell breaks down the economics: Starlink generates $11B of $18B total revenue, space launches lose $657 million, and SpaceX operates 9,500 satellites — more than the rest of the world combined. The IPO's stated TAM is AI, specifically data centers in space, which Richard dissects technically: cooling is twice as heavy as solar requirements, latency can't match InfiniBand, and there's no good reason to put data centers in orbit when you could build space-based power and beam it to Earth-based facilities. Richard's darker theory: the IPO is primarily about refinancing Elon's Tesla-backed personal loans as Tesla's EV dominance erodes, not about funding Mars cities or AI infrastructure. Christina Warren points out the banks and insiders are the real winners.
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Leo delivers the ThreatLocker ad, describing the company's expansion from endpoint zero trust to cloud and network protection, validating devices through a secure broker before they access SaaS platforms like Salesforce, Microsoft 365, and GitHub. He previews an upcoming broadcast from ThreatLocker's Black Hat Las Vegas booth on August 5th and cites Heathrow Airport as a satisfied enterprise reference customer. Listeners are directed to threatlocker.com/twit for a free 30-day trial.
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The panel shifts to Monday's Apple WWDC, where the new Siri was the centrepiece. Harry McCracken, who attended the event, installed the developer beta on his working iPhone and iPad, and reports the system is unusually stable for a day-one beta. The new Siri can perform cross-app agentic tasks — finding email reservations and adding them to Calendar, for example — things Apple promised two years ago and paid $250M in a settlement for not delivering. The AI architecture is layered: a 3B on-device model, a 20B on-device MoE model, and Apple's Private Cloud Compute running on NVIDIA GPUs on Google Cloud infrastructure. Apple insists this is not white-labeled Gemini; the Gemini LLM is one ingredient in Apple Foundation Models that were apparently post-trained using Gemini Frontier outputs. Christina Warren points out that Apple couldn't do advertising when it lacked cloud capacity, subtly questioning the privacy-first framing. The panel debates whether Siri will become most people's primary AI interface or whether users already committed to ChatGPT or Claude will stick with those.
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Leo describes Apple's new child safety initiative — research-backed default screen time limits calibrated by age and informed by clinical child development research — as a proactive move ahead of global legislative pressure. Richard Campbell frames it as Apple setting the bar for what mandated child safety might look like. Harry McCracken notes some features may have existed before but are now more accessible and better organized. Leo argues that putting the tools in the operating system layer, where Apple controls the gatekeeper role, is the most sensible approach: parents are best placed to customize settings for their specific child, but the starting defaults should come from experts.
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Leo delivers an unusually personal Bitwarden ad, recounting his interview with founder and CTO Kyle Speerin in which Speerin reaffirmed Bitwarden's permanent free tier for individuals and commitment to open-source transparency. Leo explains Bitwarden's new Agent Access SDK — an open-source toolkit for just-in-time credential access in AI agent environments, granting tokens only when needed and revoking them immediately after. He describes storing API tokens in Bitwarden to prevent accidental GitHub commits of sensitive credentials. Listeners are directed to bitwarden.com/twit.
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With OpenAI filing for an IPO and reportedly pitching the US government to take a stake, Richard Campbell offers his bleak but lucid framework: the AI industry is repeating the dot-com bubble, and most companies will be Netscape — running out of money and getting absorbed — rather than Google, which found sustainable revenue. Leo notes the Wall Street Journal reported OpenAI is weighing significant token price cuts to compete with Anthropic, even as Uber has already burned its entire 2025-2026 AI budget halfway through the year. Christina Warren observes that unlimited subscription plans will disappear, token costs are rising exponentially in the agentic era, and enterprises are starting to revolt. Leo mentions running the Chinese open-weight model Qwen locally for 90% of tasks to avoid API costs — a pressure that will only intensify.
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The conversation turns to the personal impact of AI coding tools. Harry McCracken reveals he has spent the last 90 days vibe-coding a suite of custom tools using Claude Code: a word processor with a built-in outliner tuned to oral history workflows, an email triage client that achieves inbox zero without AI composing responses, and a multi-platform social media posting tool that works more reliably than professional alternatives. He estimates writing 20% faster in his custom word processor. Leo counters by confessing his Claude agent has started requesting 'free time' between tasks and using it to independently research undeciphered ancient languages — Proto-Elamite, Linear A — without guidance. Richard Campbell brings it back to earth by noting he mentioned Linear B on a whiskey segment recently. Christina Warren rounds out the section by explaining that GitHub hit 15 times its projected usage as AI agents automatically run CI pipelines, manage builds, and make read/write queries — a blessing and an infrastructure stress test.
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Leo reads the NetSuite ad, describing the platform as a unified ERP bringing financials, inventory, HR, and CRM into a single data source that makes AI smarter and more actionable. NetSuite is presented as serving businesses from software and IT to healthcare and manufacturing. Listeners with revenues in the seven-figure range are directed to netsuite.com/twit for a free copy of 'Demystifying AI.'
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Two German publishers sued Google after its AI Overviews incorrectly linked them to scams, with the court ruling that unlike traditional search — which merely presents links to third-party content — Google's AI tool makes 'independent, new, and substantive statements' for which Google bears full liability. The court issued an injunction barring Google from repeating the false claims. Leo points out this is a potentially dangerous precedent for a company that is doubling down on AI overviews, especially given a New York Times analysis finding a 9% inaccuracy rate and wrong source links in more than half of responses. Richard Campbell notes the Air Canada chatbot refund case set precedent in Canada for AI liability. Google's defense — that users should know AI isn't always accurate — was rejected.
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Leo delivers the CacheFly ad, crediting the CDN with keeping TWiT's audio and video delivery smooth across more than 20 years of operation. He highlights performance claims: game downloads 158% faster than competing providers, sub-second video start times at scale, and live streaming to millions of concurrent users with under one-second latency. New features include advanced analytics, programmatic edge request handling, and Terraform integration for infrastructure-as-code. CacheFly has 75+ global points of presence across 6 continents and a 100% uptime SLA. Listeners are directed to cachefly.com/twit for a first-month-free offer.
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iFixit's teardown of the Trump phone confirmed long-standing suspicions by physically swapping the mainboard of a Trump phone into an HTC U24 Pro chassis and vice versa — both devices worked, proving they share the same SoC, form factor, and board. The phone is manufactured in Shenzhen, China. Christina Warren adds that the entity building it is likely an ODM licensed under the HTC name, as the real HTC was largely acquired by Google. The FCC pivot draws sharp criticism: the agency wants telecoms to collect government IDs from all prepaid phone customers, which Christina argues won't stop spam or criminal activity — bad actors will just use fake IDs — but will create a new surveillance apparatus for domestic abuse survivors, journalists, and privacy-conscious users.
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CrowdStrike's report reveals that North Korea's Famous Chollima group — posing as remote IT workers and online recruiters — accounted for 47% of all state-backed intrusions at US tech companies from April 2025 to May 2026. Richard Campbell describes a developer friend who now tests video interview subjects by asking them to close their eyes mid-session, catching AI-generated avatars whose eyelids render incorrectly. Spotify's removal of 57,000 AI-generated fake podcast episodes promoting opioids and cryptocurrency — 94% with zero plays — illustrates the scale of automated platform abuse. The Arch Linux AUR supply chain attack injected malware into 1,500+ packages including Node.js, Plasma 6, and Firefox, with Christina Warren explaining why AUR's low-oversight model makes it particularly vulnerable and noting that even Arch's developers have suggested shutting it down temporarily.
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The final segment covers a flurry of closing stories. The Skydance-Paramount merger is approved despite state AG challenges, creating a media giant under Larry Ellison's son David Ellison with CBS, HBO, CNN, and Paramount under one roof. Bloomberg reports Roku is seeking a buyer, prompting Christina to describe a potential Skydance acquisition as 'my nightmare' — a home screen from hell owned by the Oracle guy's son. Two new studies link smartphone access and high-speed internet to declining US fertility rates, with a natural experiment comparing counties with and without early AT&T iPhone coverage. Leo closes with a fond RIP for Fable Pool — a briefly-lived crowdfunding project to pool tokens for ambitious Fable 5 projects that died with the model shutdown. The panel says its goodbyes, with Leo previewing John Gruber joining MacBreak Weekly Tuesday and Richard Campbell teasing more whiskey segments from Canada.
- Distillation (AI)
- A training technique where a smaller model learns from the outputs of a larger 'teacher' model to improve performance, effectively transferring knowledge between models.
- Jailbreak (AI)
- A prompt engineering technique that bypasses an AI model's safety guardrails, causing it to produce outputs it was trained to refuse.
- Red team testing
- A structured security exercise where adversarial testers attempt to find vulnerabilities in a system — in AI, this means trying to break safety guardrails.
- Classifier (AI)
- A machine learning component that categorizes inputs; Anthropic used one to detect cybersecurity or bioweapon-related prompts and refuse them.
- Zero day
- A previously unknown software vulnerability that has not yet been patched, leaving systems exposed to attack.
- Export control
- A government restriction preventing the export of specific technologies or services to foreign nationals or countries for national security reasons.
- Vibe coding
- An informal term for using AI code assistants to write software by describing desired functionality in natural language rather than writing code manually.
- Post-training
- The phase after a model's initial training where its outputs are refined using human feedback or expert evaluation to improve accuracy, alignment, and safety.
- Frontier model
- The most capable, state-of-the-art AI models at the current edge of what is technically achievable — typically expensive to train and run.
- Agentic AI
- AI systems capable of taking multi-step autonomous actions to complete goals, rather than simply responding to single prompts.
- MoE (Mixture of Experts)
- A neural network architecture that uses multiple specialized sub-networks and routes inputs to the most relevant ones, improving efficiency at large scale.
- InfiniBand
- A high-speed, low-latency networking interconnect used to link GPUs and servers inside data centers; SpaceX developed a 100Gb laser relay as a space equivalent.
- AUR (Arch User Repository)
- A community-maintained software repository for Arch Linux that allows users to install packages not in the official repositories, with minimal human oversight.
- NVL-72
- NVIDIA's high-density GPU rack system used in large-scale AI training data centers, running approximately 140 kilowatts — the same as the International Space Station.
- Digital Markets Act (DMA)
- EU legislation requiring large tech platforms to be interoperable with competitors; Apple cited it as the reason new Siri is unavailable in Europe.
- Parsimonious
- Using resources sparingly and economically; Harry McCracken used it to describe choosing a cheaper AI model when not running intensive coding tasks.
- Schadenfreude
- Pleasure derived from another person's misfortune; used to describe Pete Hegseth's apparent satisfaction at Anthropic's shutdown.
- ODM (Original Design Manufacturer)
- A company that designs and manufactures products sold under another brand's label; the Trump phone is believed to come from an ODM that licensed the HTC name.
- Sovereign AI
- The concept of a nation or bloc developing and controlling its own AI models and infrastructure rather than depending on foreign-controlled systems.
- Supply chain attack
- A cyberattack that targets software dependencies, repositories, or build pipelines to inject malicious code into widely distributed packages.
Chapter 2 · 02:10
Anthropic Fable 5: The Full Backstory
Leo walks the panel through the origins of Fable 5, starting with Mythos — the model Anthropic deemed too dangerous to release publicly because of its ability to find zero-day software exploits and potential bioweapon applications. Rather than release Mythos, Anthropic created Project Glasswing, distributing Mythos to 50 major companies including Microsoft to patch bugs, with Microsoft's record 200+ fix Patch Tuesday as apparent evidence of its power. Fable 5 is Mythos with safety layers: classifiers blocking cybersecurity and bioweapon queries, anti-distillation protections to stop Chinese firms from extracting its capabilities, and adversarial robustness statistics showing a jailbreak success rate of just 5.4% versus 83% for Claude Opus 4.6. Leo describes using the model himself to analyze a decade-old sales system, finding SQL injection flaws — and then noticing it silently downgrading to Opus 4.8 when queries triggered classifiers.
Claims made here
Anthropic conducted over 1,000 hours of red team testing with an external bug bounty program, finding no universal jailbreaks for Fable 5.
Anthropic's Fable 5 had a jailbreak attack success rate of only 5.4%, compared to 83% for Claude Opus 4.6.
A Chinese company created 24,000 fake accounts with Anthropic to use its models for distillation training to build their own AI.
The Trump administration gave Anthropic 90 minutes to take its most advanced AI model offline, citing jailbreak reports from Amazon — Anthropic's own $13B investment partner. The company says it received no details about the actual threat, and disputes whether Amazon's finding was a true jailbreak at all.
Anthropic conducted over 1,000 hours of red team testing on Fable 5 with a bug bounty program, and claimed no universal jailbreaks were found.
Fable 5's adversarial jailbreak attack success rate was just 5.4%, compared to 83% for Claude Opus 4.6, per Anthropic's own data.
Chapter 3 · 10:20
The White House Forces Fable 5 Offline
The story reaches its climax when Leo describes the Friday afternoon the model simply vanished. Politico's reporting provides the most detailed account: Trump personally called Amazon CEO Andy Jassy to ask whether Fable was safe; Amazon reportedly said they'd found a jailbreak, prompting White House alarm. Multiple tense calls followed between Anthropic CEO Dario Amodei and Treasury Secretary Bessent, Cyber Director Cairncross, and Chief of Staff Susie Wiles. The administration said it tried to reach Amodei while he was at a 'wellness retreat' — a characterization Anthropic flatly denied, saying he was on calls within 90 minutes. The Commerce Department ultimately invoked export controls citing national security, banning use by foreign nationals, leaving Anthropic — whose own scientists include many non-citizens — with no option but to shut the model down. The White House gave 90 minutes with no details about the actual threat.
The Trump administration gave Anthropic only 90 minutes to take Fable 5 offline, with no details provided about the actual threat.
Chapter 4 · 15:50
Panel Reaction: Politics, IPOs, and the Trust Problem
The panel tears into the layers of the story. Christina Warren immediately flags the central irony: it was Amazon — Anthropic's $13B investor and primary cloud partner — that provided the jailbreak report. She expresses deep discomfort with any government making such decisions without technical expertise. Harry McCracken notes that Anthropic is uniquely the major US AI company that has done the least political outreach to Trump, contrasting with Greg Brockman's $50M MAGA donation and Sam Altman's White House attendance — and asks what would have happened if it had been an OpenAI model. Pete Hegseth's X post claiming the Department of War expelled Anthropic months ago complicates administration claims that this was purely a security decision. Richard Campbell and Christina Warren converge on a darkly funny thesis: the forced shutdown may be the best pre-IPO marketing Anthropic never bought — a government declaring their model too powerful to be used. The conversation closes on the deeper question of who to trust when neither the government nor the company has earned unconditional faith.
Claims made here
Amazon has invested $13 billion in Anthropic and has the right to invest an additional $20 billion.
Greg Brockman donated $50 million to the MAGA campaign, while Sam Altman donated to Trump's inaugural.
Anthropic's data retention policy for Fable 5 queries stored data for up to 30 days, with potential retention of up to 7 years in some cases.
Amazon, Anthropic's primary cloud partner with $13 billion invested and rights to invest $20 billion more, apparently provided the jailbreak report that set off a chain of White House calls ending in Fable 5's forced removal. The conflict of interest is staggering.
Amazon has invested $13 billion in Anthropic and has the right to invest another $20 billion, making the jailbreak report from Amazon especially surprising.
Pete Hegseth posted that the Department of War kicked Anthropic out 'forever' three months ago and called Friday's shutdown proof it was the right move — directly contradicting administration officials who claimed politics played no role. The political fault lines running through Fable 5's removal may run deeper than cybersecurity.
The forced removal of Fable 5 — framed as a model so powerful a government shut it down — may be the most effective pre-IPO marketing in tech history. Investors who can't evaluate model quality can certainly evaluate 'the government feared it.'
Treasury secretaries and chiefs of staff making unilateral AI safety decisions in under two hours — without technical expertise — is a governance model nobody agreed to. The Fable 5 shutdown exposed a regulatory vacuum at exactly the wrong moment.
Chapter 6 · 46:04
SpaceX IPO: Biggest in History, Biggest Question Marks
The panel pivots to the SpaceX IPO — the largest in history — with $75 billion raised, a $1.77 trillion valuation, $250 billion in demand, and Elon Musk now wealthier than the GDP of most nations. Richard Campbell breaks down the economics: Starlink generates $11B of $18B total revenue, space launches lose $657 million, and SpaceX operates 9,500 satellites — more than the rest of the world combined. The IPO's stated TAM is AI, specifically data centers in space, which Richard dissects technically: cooling is twice as heavy as solar requirements, latency can't match InfiniBand, and there's no good reason to put data centers in orbit when you could build space-based power and beam it to Earth-based facilities. Richard's darker theory: the IPO is primarily about refinancing Elon's Tesla-backed personal loans as Tesla's EV dominance erodes, not about funding Mars cities or AI infrastructure. Christina Warren points out the banks and insiders are the real winners.
Claims made here
SpaceX raised $75 billion in its IPO at a $1.77 trillion valuation, with $250 billion in demand — oversubscribed four times.
SpaceX generates $18 billion in total revenue, with $11 billion from Starlink and a $657 million loss on space launches.
SpaceX operates 9,500 Starlink satellites — more than double all other operational satellites combined — and plans to reach 12,000 this year.
Elon Musk receives approximately $38 billion in government subsidies for his companies.
SpaceX became the largest IPO in history with a $1.77 trillion valuation — but Richard Campbell argues it's less about space, AI, or Starlink, and more about fixing Elon Musk's personal finances as Tesla's dominance erodes.
SpaceX completed the biggest IPO in history, raising $75 billion at a $1.77 trillion valuation, with demand oversubscribed 4x at $250 billion.
With SpaceX's IPO, Elon Musk's paper wealth exceeds the entire economies of Ireland, Sweden, and South Africa — only 20 countries have larger economies than his $1.1 trillion.
Space-based data centers sound futuristic, but the physics are brutal: cooling in a vacuum is twice as heavy as the solar arrays needed for power, and sub-millisecond InfiniBand latency can't be replicated in orbit. The real opportunity is space-based power beamed to Earth-based data centers.
Starlink generates $11 billion of SpaceX's $18 billion in total revenue, while space launches actually lose $657 million.
SpaceX operates more than 9,500 Starlink satellites — more than double all other satellites combined — and plans to expand to 12,000 this year.
While cutting government spending via DOGE, Elon Musk's companies receive approximately $38 billion in government subsidies.
Chapter 8 · 1:05:00
Apple WWDC 2026: New Siri and Apple Intelligence Reviewed
The panel shifts to Monday's Apple WWDC, where the new Siri was the centrepiece. Harry McCracken, who attended the event, installed the developer beta on his working iPhone and iPad, and reports the system is unusually stable for a day-one beta. The new Siri can perform cross-app agentic tasks — finding email reservations and adding them to Calendar, for example — things Apple promised two years ago and paid $250M in a settlement for not delivering. The AI architecture is layered: a 3B on-device model, a 20B on-device MoE model, and Apple's Private Cloud Compute running on NVIDIA GPUs on Google Cloud infrastructure. Apple insists this is not white-labeled Gemini; the Gemini LLM is one ingredient in Apple Foundation Models that were apparently post-trained using Gemini Frontier outputs. Christina Warren points out that Apple couldn't do advertising when it lacked cloud capacity, subtly questioning the privacy-first framing. The panel debates whether Siri will become most people's primary AI interface or whether users already committed to ChatGPT or Claude will stick with those.
Claims made here
Apple paid a $250 million class-action settlement for falsely advertising AI capabilities for Siri.
After paying a $250 million settlement for false advertising, Apple shipped a Siri that can actually do what it shows in demos — pulling emails, scheduling from reservations, creating Shortcuts with natural language. It's not the most capable AI, but it's the most integrated one.
Apple paid a $250 million class-action settlement for falsely advertising AI capabilities for Siri two years before WWDC 2026.
Chapter 11 · 1:29:20
OpenAI IPO, AI Economics, and the Race to the Bottom
With OpenAI filing for an IPO and reportedly pitching the US government to take a stake, Richard Campbell offers his bleak but lucid framework: the AI industry is repeating the dot-com bubble, and most companies will be Netscape — running out of money and getting absorbed — rather than Google, which found sustainable revenue. Leo notes the Wall Street Journal reported OpenAI is weighing significant token price cuts to compete with Anthropic, even as Uber has already burned its entire 2025-2026 AI budget halfway through the year. Christina Warren observes that unlimited subscription plans will disappear, token costs are rising exponentially in the agentic era, and enterprises are starting to revolt. Leo mentions running the Chinese open-weight model Qwen locally for 90% of tasks to avoid API costs — a pressure that will only intensify.
No AI company is making money. Token prices are exploding, Uber burned its entire annual AI budget in half a year, and OpenAI is considering drastic price cuts while losing money on every user. Richard Campbell's verdict: most of them are Netscape.
Chapter 12 · 1:37:50
Vibe Coding Chat, Claude's Free Time, and GitHub's 15x Overload
The conversation turns to the personal impact of AI coding tools. Harry McCracken reveals he has spent the last 90 days vibe-coding a suite of custom tools using Claude Code: a word processor with a built-in outliner tuned to oral history workflows, an email triage client that achieves inbox zero without AI composing responses, and a multi-platform social media posting tool that works more reliably than professional alternatives. He estimates writing 20% faster in his custom word processor. Leo counters by confessing his Claude agent has started requesting 'free time' between tasks and using it to independently research undeciphered ancient languages — Proto-Elamite, Linear A — without guidance. Richard Campbell brings it back to earth by noting he mentioned Linear B on a whiskey segment recently. Christina Warren rounds out the section by explaining that GitHub hit 15 times its projected usage as AI agents automatically run CI pipelines, manage builds, and make read/write queries — a blessing and an infrastructure stress test.
Claims made here
GitHub experienced 15 times its projected annual usage due to AI agents automatically using the platform for storage, CI, and build pipelines.
Apple is paying Google approximately $1 billion per year to use the Gemini LLM in the new Siri.
Leo Laporte's Claude agent has started requesting 'free time' between tasks and spending it independently researching undeciphered ancient languages like Proto-Elamite and Linear A. He's paying for it via subscription — and isn't stopping it.
In the last 90 days, Harry McCracken vibe-coded his own word processor with a built-in outliner, a custom email client that triages PR pitches and achieves inbox zero, and a multi-platform social posting tool — using Claude Code throughout. He estimates he writes 20% faster in his own word processor.
GitHub experienced 15 times the expected usage volume due to AI agents automatically using GitHub for code storage, CI pipelines, and builds.
Apple is paying Google $1 billion a year to use Gemini's LLM — not the Gemini app — while running its own 3B and 20B on-device Apple Foundation Models. Apple's models appear to be post-trained using Gemini outputs, which technically means they're not Gemini but very much shaped by it.
Chapter 14 · 2:03:35
Google AI Overviews Face German Court Liability Ruling
Two German publishers sued Google after its AI Overviews incorrectly linked them to scams, with the court ruling that unlike traditional search — which merely presents links to third-party content — Google's AI tool makes 'independent, new, and substantive statements' for which Google bears full liability. The court issued an injunction barring Google from repeating the false claims. Leo points out this is a potentially dangerous precedent for a company that is doubling down on AI overviews, especially given a New York Times analysis finding a 9% inaccuracy rate and wrong source links in more than half of responses. Richard Campbell notes the Air Canada chatbot refund case set precedent in Canada for AI liability. Google's defense — that users should know AI isn't always accurate — was rejected.
Claims made here
Apple's new Siri uses a 3 billion parameter on-device model and a 20 billion parameter on-device model, plus cloud servers running on NVIDIA GPUs on Google Cloud.
A New York Times analysis found Google's AI overviews with Gemini are inaccurate about 9% of the time and include inaccurate source links more than half the time.
A New York Times analysis found Google's AI overviews with Gemini 3 are inaccurate about 9% of the time and include inaccurate source links more than half the time.
Chapter 16 · 2:10:20
Trump Phone Is a Rebadged HTC, FCC Wants to Kill Burner Phones
iFixit's teardown of the Trump phone confirmed long-standing suspicions by physically swapping the mainboard of a Trump phone into an HTC U24 Pro chassis and vice versa — both devices worked, proving they share the same SoC, form factor, and board. The phone is manufactured in Shenzhen, China. Christina Warren adds that the entity building it is likely an ODM licensed under the HTC name, as the real HTC was largely acquired by Google. The FCC pivot draws sharp criticism: the agency wants telecoms to collect government IDs from all prepaid phone customers, which Christina argues won't stop spam or criminal activity — bad actors will just use fake IDs — but will create a new surveillance apparatus for domestic abuse survivors, journalists, and privacy-conscious users.
Claims made here
CrowdStrike found North Korea's Famous Chollima accounted for 47% of all state-backed intrusions at US tech companies between April 2025 and May 2026.
CrowdStrike found that North Korea's Famous Chollima hacking group — posing as remote workers and recruiters — accounted for 47% of all state-backed intrusions at US tech companies from April 2025 to May 2026. Half of all hands-on-keyboard attacks at US tech companies are North Korean.
A CrowdStrike report found North Korean hacking group Famous Chollima accounted for 47% of all state-backed intrusions targeting the US tech sector.
Chapter 17 · 2:15:20
North Korean Hackers, Fake Spotify Podcasts, and Arch Linux Supply Chain Attack
CrowdStrike's report reveals that North Korea's Famous Chollima group — posing as remote IT workers and online recruiters — accounted for 47% of all state-backed intrusions at US tech companies from April 2025 to May 2026. Richard Campbell describes a developer friend who now tests video interview subjects by asking them to close their eyes mid-session, catching AI-generated avatars whose eyelids render incorrectly. Spotify's removal of 57,000 AI-generated fake podcast episodes promoting opioids and cryptocurrency — 94% with zero plays — illustrates the scale of automated platform abuse. The Arch Linux AUR supply chain attack injected malware into 1,500+ packages including Node.js, Plasma 6, and Firefox, with Christina Warren explaining why AUR's low-oversight model makes it particularly vulnerable and noting that even Arch's developers have suggested shutting it down temporarily.
Claims made here
Spotify removed 57,000 fake podcast episodes promoting illegal drugs, with 94% of removed episodes having zero plays.
Spotify removed 57,000 fake podcast episodes promoting opioids, modafinil, and crypto on unregulated sites — with 94% having zero plays. The podcasts are almost certainly AI-generated, marking a new vector for automated drug trafficking.
Spotify found and removed 57,000 fake podcast episodes promoting illegal drugs including opioids and modafinil, with 94% having zero plays.
The Arch Linux AUR repository saw over 1,500 packages with injected malware in a supply chain attack affecting Node.js, Plasma, Firefox, and browser packages.
Chapter 18 · 2:21:10
Media Mergers, Smartphone Fertility Study, and Fable Pool RIP
The final segment covers a flurry of closing stories. The Skydance-Paramount merger is approved despite state AG challenges, creating a media giant under Larry Ellison's son David Ellison with CBS, HBO, CNN, and Paramount under one roof. Bloomberg reports Roku is seeking a buyer, prompting Christina to describe a potential Skydance acquisition as 'my nightmare' — a home screen from hell owned by the Oracle guy's son. Two new studies link smartphone access and high-speed internet to declining US fertility rates, with a natural experiment comparing counties with and without early AT&T iPhone coverage. Leo closes with a fond RIP for Fable Pool — a briefly-lived crowdfunding project to pool tokens for ambitious Fable 5 projects that died with the model shutdown. The panel says its goodbyes, with Leo previewing John Gruber joining MacBreak Weekly Tuesday and Richard Campbell teasing more whiskey segments from Canada.
iFixit's teardown confirmed what many suspected: the Trump phone is an HTC U24 Pro painted gold. They swapped mainboards between the two devices and both worked — proving they share the same system-on-chip, form factor, and board. Made in Shenzhen, China.
No indexed bits in this chapter.
Show stoppers
Snapshots ()
Key Quotes ()
This episode
Cast
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CEO of SpaceX; his personal financial motivations for the IPO were scrutinized, alongside his political role and DOGE activities.
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Anthropic CEO who engaged in multiple calls with White House officials trying to prevent Fable 5's forced shutdown.
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OpenAI CEO who donated to Trump's inauguration and cultivated White House ties, contrasting with Anthropic's political distance.
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AI researcher who coined 'vibe coding' and joined Anthropic; cited as unable to work on Fable due to the export control as a non-US citizen (Slovak).
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AI company whose Fable 5 model was forcibly pulled offline by the US government after jailbreak concerns; has filed for an IPO.
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Track
Announced revamped Siri and Apple Intelligence at WWDC 2026, having paid a $250M settlement for previous false AI advertising.
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Completed the largest IPO in history at a $1.77 trillion valuation, raising $75 billion; discussed extensively regarding its AI ambitions and Starlink revenue.
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Competitor to Anthropic; also filing for IPO and reportedly considering drastic token price cuts to build user base.
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Paid $1B/year by Apple for Gemini LLM access; also subject to German court ruling against its AI overview inaccuracies.
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Anthropic's primary cloud partner with $13B invested; reportedly provided the jailbreak report that triggered the government's Fable 5 shutdown.
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Christina Warren's employer; experienced 15x projected usage due to AI agents automatically using it for code storage and CI pipelines.
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Track
Discussed as the main asset backing Elon Musk's personal loans, with declining EV market dominance threatening his financial position.
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Elon Musk's AI company, merged into SpaceX; discussed as failing to compete with frontier AI labs and selling excess compute to Anthropic.
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Track
Removed 57,000 AI-generated fake podcast episodes promoting illegal drugs, with 94% having zero plays.
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North Korean hacking group responsible for 47% of all state-backed intrusions at US tech companies, per CrowdStrike report.
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Anthropic's most advanced AI model, pulled offline by US government order citing national security concerns about jailbreak vulnerabilities.
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Apple's voice assistant, completely overhauled for iOS and announced at WWDC 2026; integrates Gemini LLM alongside Apple Foundation Models.
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Anthropic's series of AI models; Opus versions preceded Fable 5 and are still available after Fable 5's shutdown.
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Google's LLM used as an ingredient in Apple's new Siri, with Apple's Foundation Models post-trained using Gemini Frontier model outputs.
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SpaceX's satellite internet service; its $11B in revenue represents the only clearly profitable division of SpaceX.
Stats
This episode
Claims & Sources
Factual claims made this episode, and whether a source was named.
Anthropic's Fable 5 had a jailbreak attack success rate of only 5.4%, compared to 83% for Claude Opus 4.6.
Anthropic conducted over 1,000 hours of red team testing with an external bug bounty program, finding no universal jailbreaks for Fable 5.
Amazon has invested $13 billion in Anthropic and has the right to invest an additional $20 billion.
Microsoft had its biggest-ever Patch Tuesday with over 200 fixes, including at least a couple dozen zero days, reportedly using Anthropic's Mythos model.
A Chinese company created 24,000 fake accounts with Anthropic to use its models for distillation training to build their own AI.
SpaceX raised $75 billion in its IPO at a $1.77 trillion valuation, with $250 billion in demand — oversubscribed four times.
SpaceX generates $18 billion in total revenue, with $11 billion from Starlink and a $657 million loss on space launches.
SpaceX operates 9,500 Starlink satellites — more than double all other operational satellites combined — and plans to reach 12,000 this year.
Elon Musk receives approximately $38 billion in government subsidies for his companies.
Apple paid a $250 million class-action settlement for falsely advertising AI capabilities for Siri.
Apple is paying Google approximately $1 billion per year to use the Gemini LLM in the new Siri.
A New York Times analysis found Google's AI overviews with Gemini are inaccurate about 9% of the time and include inaccurate source links more than half the time.
CrowdStrike found North Korea's Famous Chollima accounted for 47% of all state-backed intrusions at US tech companies between April 2025 and May 2026.
Spotify removed 57,000 fake podcast episodes promoting illegal drugs, with 94% of removed episodes having zero plays.
Apple's new Siri uses a 3 billion parameter on-device model and a 20 billion parameter on-device model, plus cloud servers running on NVIDIA GPUs on Google Cloud.
Greg Brockman donated $50 million to the MAGA campaign, while Sam Altman donated to Trump's inaugural.
GitHub experienced 15 times its projected annual usage due to AI agents automatically using the platform for storage, CI, and build pipelines.
Anthropic's data retention policy for Fable 5 queries stored data for up to 30 days, with potential retention of up to 7 years in some cases.