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Anthropic drops Claude Fable 5 model-building restrictions after backlash

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Top stories today:

  1. Anthropic drops Claude Fable 5 model-building restrictions
  2. OpenAI to launch GPT-5.6 with “meaningful improvement” this month
  3. Google unveils DiffusionGemma, 26B-parameter open model
  4. Oracle Q4 FY26 revenue +21% YoY to $19.2B, net income +26%
  5. CPI +4.2% YoY in May, fastest pace in 3 years, Core CPI +2.9%

0. Data and calendar

All values as of 6 AM ET / 3 AM PT, other than S&P500 and NASDAQ close (4 PM ET / 1 PM PT).

All times are ET.

Listen to our AI-generated podcast summarizing today’s newsletter (beware of hallucinations):

1. Anthropic drops Claude Fable 5 model-building restrictions after backlash

Separately, Dario Amodei outlined policy responses to AI’s rapid progress

Amodei backed mandatory third-party testing and measures to address AI risks and labor disruption:

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3. OpenAI said to launch GPT-5.6 with “meaningful improvement” this month

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5. Google unveils DiffusionGemma, 26B-parameter text diffusion open model

DiffusionGemma outperformed Gemma 4 on output speed in Google’s early benchmarks:

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