News & Updates
The latest news and updates from companies in the WLTH portfolio.
Sony, Warner sue Anthropic over copyrighted music in AI training
The case joins a wave of lawsuits brought against technology companies by authors, publishers, music labels and news organizations over the use of copyrighted material to train artificial intelligence systems SAN FRANCISCO, California: Sony Music and Warner Music's publishing arms have sued Anthropic in California federal court, alleging the AI company illegally used copyrighted song lyrics and sheet music to train its Claude models. Sony and Warner said in a complaint filed on August 31 that Anthropic pirated hundreds of song lyrics and sheet music from The Beatles, Taylor Swift, Michael Jackson and hundreds of other artists to train Claude to respond to human prompts. The case joins a wave of lawsuits brought against technology companies by authors, publishers, music labels and news organizations over the use of copyrighted material to train artificial intelligence systems. Universal Music Group sued Anthropic in 2023 over the alleged use of copyrighted song lyrics in AI training. That lawsuit is still ongoing. Anthropic became the first AI company to settle one of the disputes last year, paying US$1.5 billion to resolve a class action brought by a group of authors. "Anthropic clearly considers that to be just the cost of doing business given that its entire business model continues to be built on copyright theft," Sony and Warner said in their complaint. "And $1.5 billion is obviously not a large enough settlement to deter infringing conduct by a company that has parlayed such mass infringement into a staggering $2-trillion-dollar valuation." Spokespeople for Anthropic, Sony Music and Warner Music did not immediately respond to requests for comment. The complaint alleges that Anthropic illegally obtained the publishers' lyrics and sheet music through torrent downloads to train Claude. It also alleges that Claude can reproduce copyrighted lyrics "verbatim" when prompted. Sony and Warner said Anthropic also used their lyrics to teach Claude to "generate vast quantities of purportedly 'new' AI-generated song lyrics, which compete with Music Publishers' legitimate copyrighted works as harmful market substitutes." The music publishers are seeking damages of up to $150,000 for each infringed copyright as well as a court order barring Anthropic from using their works.
Music giants accuse Anthropic of copyright theft in AI training
SAN FRANCISCO, California: Sony Music and Warner Music's publishing arms have sued Anthropic in California federal court, alleging the AI company illegally used copyrighted song lyrics and sheet music to train its Claude models. Sony and Warner said in a complaint filed on August 31 that Anthropic pirated hundreds of song lyrics and sheet music from The Beatles, Taylor Swift, Michael Jackson and hundreds of other artists to train Claude to respond to human prompts. The case joins a wave of lawsuits brought against technology companies by authors, publishers, music labels and news organizations over the use of copyrighted material to train artificial intelligence systems. Universal Music Group sued Anthropic in 2023 over the alleged use of copyrighted song lyrics in AI training. That lawsuit is still ongoing. Anthropic became the first AI company to settle one of the disputes last year, paying US$1.5 billion to resolve a class action brought by a group of authors. "Anthropic clearly considers that to be just the cost of doing business given that its entire business model continues to be built on copyright theft," Sony and Warner said in their complaint. "And $1.5 billion is obviously not a large enough settlement to deter infringing conduct by a company that has parlayed such mass infringement into a staggering $2-trillion-dollar valuation." Spokespeople for Anthropic, Sony Music and Warner Music did not immediately respond to requests for comment. The complaint alleges that Anthropic illegally obtained the publishers' lyrics and sheet music through torrent downloads to train Claude. It also alleges that Claude can reproduce copyrighted lyrics "verbatim" when prompted. Sony and Warner said Anthropic also used their lyrics to teach Claude to "generate vast quantities of purportedly 'new' AI-generated song lyrics, which compete with Music Publishers' legitimate copyrighted works as harmful market substitutes." The music publishers are seeking damages of up to $150,000 for each infringed copyright as well as a court order barring Anthropic from using their works.
Sony, Warner sue Anthropic over copyrighted music in AI training
The case joins a wave of lawsuits brought against technology companies by authors, publishers, music labels and news organizations over the use of copyrighted material to train artificial intelligence systems SAN FRANCISCO, California: Sony Music and Warner Music's publishing arms have sued Anthropic in California federal court, alleging the AI company illegally used copyrighted song lyrics and sheet music to train its Claude models. Sony and Warner said in a complaint filed on August 31 that Anthropic pirated hundreds of song lyrics and sheet music from The Beatles, Taylor Swift, Michael Jackson and hundreds of other artists to train Claude to respond to human prompts. The case joins a wave of lawsuits brought against technology companies by authors, publishers, music labels and news organizations over the use of copyrighted material to train artificial intelligence systems. Universal Music Group sued Anthropic in 2023 over the alleged use of copyrighted song lyrics in AI training. That lawsuit is still ongoing. Anthropic became the first AI company to settle one of the disputes last year, paying US$1.5 billion to resolve a class action brought by a group of authors. "Anthropic clearly considers that to be just the cost of doing business given that its entire business model continues to be built on copyright theft," Sony and Warner said in their complaint. "And $1.5 billion is obviously not a large enough settlement to deter infringing conduct by a company that has parlayed such mass infringement into a staggering $2-trillion-dollar valuation." Spokespeople for Anthropic, Sony Music and Warner Music did not immediately respond to requests for comment. The complaint alleges that Anthropic illegally obtained the publishers' lyrics and sheet music through torrent downloads to train Claude. It also alleges that Claude can reproduce copyrighted lyrics "verbatim" when prompted. Sony and Warner said Anthropic also used their lyrics to teach Claude to "generate vast quantities of purportedly 'new' AI-generated song lyrics, which compete with Music Publishers' legitimate copyrighted works as harmful market substitutes." The music publishers are seeking damages of up to $150,000 for each infringed copyright as well as a court order barring Anthropic from using their works.
Firm linked to Trump Jr. invests millions in Polymarket
WASHINGTON (TNND) -- An investment firm, where Donald Trump Jr. is a partner, is making a major bet on the prediction-market platform Polymarket, leading a new $1 billion funding round that values the company at about $21 billion. 1789 Capital, a Florida-based venture capital firm where Trump Jr. is a partner, is said to be investing another $300 million on top of roughly $200 million it had already invested. The deal is drawing attention as prediction markets such as Polymarket and its rival, Kalshi, have surged in popularity over the past year, with millions of users betting billions of dollars on real-world events. The platforms allow users to bet money on outcomes tied to current events, from politics to entertainment. Events include who will win the Super Bowl, who will win "Love Island" or whether the U.S. will take military action abroad. If a user's prediction is right, they can make money; if it's wrong, someone else does. The platforms make money by placing fees on each bet. Kalshi has also made headlines this week after banning former Republican Congressman George Santos. The company took the action after Santos placed bets earlier this year on his own potential appearance at the State of the Union. Trump Jr., the president's oldest son, has ties to both Polymarket and Kalshi and is an advisor to both companies. When he joined Kalshi as an advisor last year, he received company shares reportedly worth more than $300,000. The investment is also being closely watched because it comes as the Trump administration has taken a friendly approach to prediction markets. The Commodity Futures Trading Commission, the federal agency that oversees the industry, has praised the companies and challenged state efforts to regulate them, and the leader of that commission is a Trump appointee. Critics have raised questions about whether the president's son's business ties could give the platforms an edge when it comes to federal regulations, or a lack thereof. There are also broader concerns about the industry, including whether people with inside information could profit from bets on politics, wars or other major events. Trump Jr. has said he invests as a private citizen and does not hold a policy role in his father's administration. As more money tied to the Trump family flows into Polymarket, questions about who profits -- and who regulates the industry -- are growing louder.
Anthropic Unveils Claude Fable 5.1, Cuts Cache-Read Costs for Persistent AI Work
Migration Risk: New API behavior can break stored reasoning, forced tool calls, and cross-model handoffs, so version changes require integration testing. AI developer Anthropic released Claude Fable 5.1 and Claude Mythos 5.1 on September 1, cutting Fable's prompt-cache read price by 75 percent while keeping Mythos behind an invitation boundary. The lower rate matters most to API customers who repeatedly reuse long instructions or project context. Fable is available on paid plans, while Mythos serves enrolled US life-sciences participants and Anthropic's Claude Security service. The two names describe the same underlying model under different safeguards, not separate performance tiers. Cheaper repeated context can reduce the cost of persistent agents, while fresh input and generated output remain expensive and developers adopting the new version face API and data-governance conditions. Anthropic says Fable 5.1 is better at long-horizon coding, scientific research, and knowledge work. One result comes from Terminal-Bench-Science 0.1, a 70-workflow agent test whose task-specific graders check scientific artifacts. On Anthropic's run, Fable 5.1 received a 52.6 percent resolution rate, compared with 24.7 percent for Fable 5. What the Price Cut Actually Covers A prompt cache lets an application store a large, repeated prefix, such as system instructions, a codebase summary, or tool definitions, and reuse it in later requests. Fable 5.1 charges $0.25 per million tokens for a cache read, down from $1 for Fable 5. That arithmetic produces the 75 percent headline reduction. The rest of the token bill did not receive the same cut. Fresh input remains $10 per million tokens and generated output remains $50 per million. Cache writes, which create or refresh the stored prefix, are also billed separately and were not part of the reduction. The lower read rate therefore has the largest effect when an application repeatedly reuses substantial context, while a one-off request with mostly new input may see little change. Anthropic modeled that mix using four weeks of August traffic at the default effort setting. It estimated about 25 percent lower costs for a typical Fable workload and as much as 45 percent for highly agentic workloads. Those are company estimates, not guaranteed invoice reductions or independent production measurements. The difference between 75, 25, and 45 percent is the difference between one token category's unit price and the composition of an entire job. Subscription access follows another accounting system. Pro, Max, Team, and Enterprise plans provide access through allowances or usage pools, while API requests use token billing. The 75 percent figure does not mean a Claude subscription became 75 percent cheaper. It can lower metered usage inside products or enterprise arrangements that pass through API-rate consumption, but it does not cut the subscription seat price itself. One Model, Two Access Regimes Anthropic first brought this capability class to a broad audience with the original Claude Fable 5 launch. Fable 5.1 keeps the same basic division: it is the generally available version, with safeguards that can redirect sensitive requests, while Mythos 5.1 exposes the same base model with fewer cyber and biology restrictions to vetted organizations. The public Fable version now permits source-code vulnerability discovery, but exploit generation, penetration testing, and binary vulnerability scanning can still trigger a fallback to another Claude model. In Claude apps that fallback is visible and automatic. API developers must opt in, and a request that switches models can be billed entirely at the fallback model's rate or split at the point of the switch. That makes the safeguard boundary both a capability limit and a cost variable, not merely a policy label. Mythos 5.1 is not generally available. Anthropic limits it to enrolled, invitation-only US life-sciences participants and uses it within Claude Security. Access for a broader Cyber Verification Program was still described as forthcoming at launch. Earlier Mythos deployments through Project Glasswing provide historical context for this restricted route. Anthropic reported about 60 percent fewer cyber-safeguard interventions per Claude Code session and 85 percent fewer biology interventions on benign elementary biology and medical requests. These are Anthropic's evaluations, not independent production proof, and the biology figure does not extend to professional life-sciences research that remains subject to tighter routing. Availability and Migration Carry Their Own Limits Fable 5.1 is available in Claude's paid apps and through the Claude API under the model identifier claude-fable-5-1. Anthropic also lists Amazon Web Services, Google Cloud, and Microsoft as launch channels. Google Cloud records the model as generally available with a one-million-token input limit and a 128,000-token maximum output. Those provider limits should not be read as the allowance for every Claude subscription, whose app context limits can be smaller. The version change is not only a model-name substitution. For API organizations and cloud projects created after August 31 at 00:00 UTC, Anthropic no longer allows applications to alter the prefix before a preserved thinking block. That block preserves the model's earlier reasoning state across requests. Applications must keep its preceding context exact or opt into dropping incompatible blocks. A technical review of Anthropic's migration materials identifies two further breakpoints: forcing a particular tool call with tool_choice can return an error, and earlier Claude models cannot consume Fable 5.1 thinking blocks during a cross-model handoff. Developers using strict tool orchestration, model fallback, or stored conversations therefore need to test the full request path rather than only changing the model identifier. Data controls add another boundary. Anthropic's Covered Models policy sets a 30-day default retention period for prompts and outputs, with platform-specific handling and limited zero-data-retention exceptions. Its planned Enterprise Frontier Safeguards architecture would keep monitoring data in a customer's cloud and shift review to the customer, but Anthropic scheduled that system for a phased rollout later in fall 2026. It was not a broadly available launch-day feature. For organizations evaluating provenance controls, Fable 5.1 and Mythos 5.1 outputs carry an invisible statistical text watermark, but Anthropic limits access to its detector to a private preview for eligible organizations. The Lower-Priced Claude Choice Remains Cheaper cache reads narrow one part of Fable's premium, but they do not erase it. Claude Opus 5 launched in July as a lower-priced high-capability alternative. On September 1, Opus 5 cost $5 per million input tokens and $25 per million output tokens, half Fable's ordinary rates. Anthropic positions Fable above it for demanding long-horizon coding, scientific research, and knowledge work rather than as the default for every Claude workload. The meaningful comparison is therefore workload-shaped. Fable 5.1 changes the calculation when a long-running coding or research agent repeatedly reads a large cached prefix and the higher-capability tier is needed. Opus 5 retains the lower base cost when fresh input, output, or broad routine use dominates. Anthropic's launch-day performance figures do not independently prove which model produces the lowest cost per completed task. Savings concentrate in requests that repeatedly read cached context, while fresh input and output keep their previous rates. API and enterprise teams whose agents reuse large prompts therefore see the largest potential effect. Fable eligibility, safeguard fallback, migration behavior, and retention rules determine whether those teams can use the cheaper path as intended; Mythos remains a separate restricted route for approved organizations that need fewer cyber and biology safeguards.
Firm linked to Trump Jr. invests millions in Polymarket
WASHINGTON (TNND) -- An investment firm, where Donald Trump Jr. is a partner, is making a major bet on the prediction-market platform Polymarket, leading a new $1 billion funding round that values the company at about $21 billion. 1789 Capital, a Florida-based venture capital firm where Trump Jr. is a partner, is said to be investing another $300 million on top of roughly $200 million it had already invested. The deal is drawing attention as prediction markets such as Polymarket and its rival, Kalshi, have surged in popularity over the past year, with millions of users betting billions of dollars on real-world events. The platforms allow users to bet money on outcomes tied to current events, from politics to entertainment. Events include who will win the Super Bowl, who will win "Love Island" or whether the U.S. will take military action abroad. If a user's prediction is right, they can make money; if it's wrong, someone else does. The platforms make money by placing fees on each bet. Kalshi has also made headlines this week after banning former Republican Congressman George Santos. The company took the action after Santos placed bets earlier this year on his own potential appearance at the State of the Union. Trump Jr., the president's oldest son, has ties to both Polymarket and Kalshi and is an advisor to both companies. When he joined Kalshi as an advisor last year, he received company shares reportedly worth more than $300,000. The investment is also being closely watched because it comes as the Trump administration has taken a friendly approach to prediction markets. The Commodity Futures Trading Commission, the federal agency that oversees the industry, has praised the companies and challenged state efforts to regulate them, and the leader of that commission is a Trump appointee. Critics have raised questions about whether the president's son's business ties could give the platforms an edge when it comes to federal regulations, or a lack thereof. There are also broader concerns about the industry, including whether people with inside information could profit from bets on politics, wars or other major events. Trump Jr. has said he invests as a private citizen and does not hold a policy role in his father's administration. As more money tied to the Trump family flows into Polymarket, questions about who profits -- and who regulates the industry -- are growing louder.
Firm linked to Trump Jr. invests millions in Polymarket
WASHINGTON (TNND) -- An investment firm, where Donald Trump Jr. is a partner, is making a major bet on the prediction-market platform Polymarket, leading a new $1 billion funding round that values the company at about $21 billion. 1789 Capital, a Florida-based venture capital firm where Trump Jr. is a partner, is said to be investing another $300 million on top of roughly $200 million it had already invested. The deal is drawing attention as prediction markets such as Polymarket and its rival, Kalshi, have surged in popularity over the past year, with millions of users betting billions of dollars on real-world events. The platforms allow users to bet money on outcomes tied to current events, from politics to entertainment. Events include who will win the Super Bowl, who will win "Love Island" or whether the U.S. will take military action abroad. If a user's prediction is right, they can make money; if it's wrong, someone else does. The platforms make money by placing fees on each bet. Kalshi has also made headlines this week after banning former Republican Congressman George Santos. The company took the action after Santos placed bets earlier this year on his own potential appearance at the State of the Union. Trump Jr., the president's oldest son, has ties to both Polymarket and Kalshi and is an advisor to both companies. When he joined Kalshi as an advisor last year, he received company shares reportedly worth more than $300,000. The investment is also being closely watched because it comes as the Trump administration has taken a friendly approach to prediction markets. The Commodity Futures Trading Commission, the federal agency that oversees the industry, has praised the companies and challenged state efforts to regulate them, and the leader of that commission is a Trump appointee. Critics have raised questions about whether the president's son's business ties could give the platforms an edge when it comes to federal regulations, or a lack thereof. There are also broader concerns about the industry, including whether people with inside information could profit from bets on politics, wars or other major events. Trump Jr. has said he invests as a private citizen and does not hold a policy role in his father's administration. As more money tied to the Trump family flows into Polymarket, questions about who profits -- and who regulates the industry -- are growing louder.
Firm linked to Trump Jr. invests millions in Polymarket
WASHINGTON (TNND) -- An investment firm, where Donald Trump Jr. is a partner, is making a major bet on the prediction-market platform Polymarket, leading a new $1 billion funding round that values the company at about $21 billion. 1789 Capital, a Florida-based venture capital firm where Trump Jr. is a partner, is said to be investing another $300 million on top of roughly $200 million it had already invested. The deal is drawing attention as prediction markets such as Polymarket and its rival, Kalshi, have surged in popularity over the past year, with millions of users betting billions of dollars on real-world events. The platforms allow users to bet money on outcomes tied to current events, from politics to entertainment. Events include who will win the Super Bowl, who will win "Love Island" or whether the U.S. will take military action abroad. If a user's prediction is right, they can make money; if it's wrong, someone else does. The platforms make money by placing fees on each bet. Kalshi has also made headlines this week after banning former Republican Congressman George Santos. The company took the action after Santos placed bets earlier this year on his own potential appearance at the State of the Union. Trump Jr., the president's oldest son, has ties to both Polymarket and Kalshi and is an advisor to both companies. When he joined Kalshi as an advisor last year, he received company shares reportedly worth more than $300,000. The investment is also being closely watched because it comes as the Trump administration has taken a friendly approach to prediction markets. The Commodity Futures Trading Commission, the federal agency that oversees the industry, has praised the companies and challenged state efforts to regulate them, and the leader of that commission is a Trump appointee. Critics have raised questions about whether the president's son's business ties could give the platforms an edge when it comes to federal regulations, or a lack thereof. There are also broader concerns about the industry, including whether people with inside information could profit from bets on politics, wars or other major events. Trump Jr. has said he invests as a private citizen and does not hold a policy role in his father's administration. As more money tied to the Trump family flows into Polymarket, questions about who profits -- and who regulates the industry -- are growing louder.
Firm linked to Trump Jr. invests millions in Polymarket
WASHINGTON (TNND) -- An investment firm, where Donald Trump Jr. is a partner, is making a major bet on the prediction-market platform Polymarket, leading a new $1 billion funding round that values the company at about $21 billion. 1789 Capital, a Florida-based venture capital firm where Trump Jr. is a partner, is said to be investing another $300 million on top of roughly $200 million it had already invested. The deal is drawing attention as prediction markets such as Polymarket and its rival, Kalshi, have surged in popularity over the past year, with millions of users betting billions of dollars on real-world events. The platforms allow users to bet money on outcomes tied to current events, from politics to entertainment. Events include who will win the Super Bowl, who will win "Love Island" or whether the U.S. will take military action abroad. If a user's prediction is right, they can make money; if it's wrong, someone else does. The platforms make money by placing fees on each bet. Kalshi has also made headlines this week after banning former Republican Congressman George Santos. The company took the action after Santos placed bets earlier this year on his own potential appearance at the State of the Union. Trump Jr., the president's oldest son, has ties to both Polymarket and Kalshi and is an advisor to both companies. When he joined Kalshi as an advisor last year, he received company shares reportedly worth more than $300,000. The investment is also being closely watched because it comes as the Trump administration has taken a friendly approach to prediction markets. The Commodity Futures Trading Commission, the federal agency that oversees the industry, has praised the companies and challenged state efforts to regulate them, and the leader of that commission is a Trump appointee. Critics have raised questions about whether the president's son's business ties could give the platforms an edge when it comes to federal regulations, or a lack thereof. There are also broader concerns about the industry, including whether people with inside information could profit from bets on politics, wars or other major events. Trump Jr. has said he invests as a private citizen and does not hold a policy role in his father's administration. As more money tied to the Trump family flows into Polymarket, questions about who profits -- and who regulates the industry -- are growing louder.
Firm linked to Trump Jr. invests millions in Polymarket
WASHINGTON (TNND) -- An investment firm, where Donald Trump Jr. is a partner, is making a major bet on the prediction-market platform Polymarket, leading a new $1 billion funding round that values the company at about $21 billion. 1789 Capital, a Florida-based venture capital firm where Trump Jr. is a partner, is said to be investing another $300 million on top of roughly $200 million it had already invested. The deal is drawing attention as prediction markets such as Polymarket and its rival, Kalshi, have surged in popularity over the past year, with millions of users betting billions of dollars on real-world events. The platforms allow users to bet money on outcomes tied to current events, from politics to entertainment. Events include who will win the Super Bowl, who will win "Love Island" or whether the U.S. will take military action abroad. If a user's prediction is right, they can make money; if it's wrong, someone else does. The platforms make money by placing fees on each bet. Kalshi has also made headlines this week after banning former Republican Congressman George Santos. The company took the action after Santos placed bets earlier this year on his own potential appearance at the State of the Union. Trump Jr., the president's oldest son, has ties to both Polymarket and Kalshi and is an advisor to both companies. When he joined Kalshi as an advisor last year, he received company shares reportedly worth more than $300,000. The investment is also being closely watched because it comes as the Trump administration has taken a friendly approach to prediction markets. The Commodity Futures Trading Commission, the federal agency that oversees the industry, has praised the companies and challenged state efforts to regulate them, and the leader of that commission is a Trump appointee. Critics have raised questions about whether the president's son's business ties could give the platforms an edge when it comes to federal regulations, or a lack thereof. There are also broader concerns about the industry, including whether people with inside information could profit from bets on politics, wars or other major events. Trump Jr. has said he invests as a private citizen and does not hold a policy role in his father's administration. As more money tied to the Trump family flows into Polymarket, questions about who profits -- and who regulates the industry -- are growing louder.
Anthropic Win Leaves Federal Contractors Facing Legal Limbo
Artificial Intelligence & Machine Learning , Litigation , Next-Generation Technologies & Secure Development Anthropic may have won a victory in its lawsuits against the U.S. Department of Defense, but the company and its federal contractor customers may still have to wait before they can resume jumping into new deals. See Also: Securing AI Workloads With Ubuntu Pro A San Francisco federal court ruled on Aug. 27 that the Pentagon must remove the supply-chain designation label it tagged on Anthropic because the government acted unlawfully (see: Judge Orders Pentagon to Reverse Anthropic Blacklisting). The decision, from the U.S. District Court for the District of Northern California Judge Rita F. Lin, will hardly be the last word on the matte, especially because government is almost certain to appeal and litigation is still ongoing in a second, related case in the United States Court of Appeals for the District of Columbia Circuit. Kathleen Farley, vice president of litigation at industry association Chamber for Progress, told ISMG that some contractors should feel "some level of comfort" in the Lin decision, but only if they do not use certain contract clauses. The case still pending at the Washington, D.C. circuit court challenges legal rationale for the Pentagon's blacklisting made by invoking the Federal Acquisition Supply Chain Security Act, while the lawsuit decided in Lin's courtroom challenged the blacklisting on Constitutional and administrative grounds. "The takeaway is that if their contract has specific wording around" the Federal Acquisition Supply Chain Security Act, then "they have to wait for the D.C. decision to come down," Farley said. A three judge panel at the D.C. court of appeal declined to grant Anthropic's request for an injunction barring the Pentagon from enforcing the blacklisting. The panel heard oral argument in May and has yet to rule. Farley added that the Trump administration is likely to pursue litigation against Anthropic all the way to the Supreme Court. Chris Mohr, president of the Software Information Industry Association, said federal civilian subcontractors shouldn't be worried about using Anthropic products. Companies that do work for the Defense Department, are in a legal grey zone. "In our conversations with companies, they are wary about using Anthropic because many of them were already using it and it hampered how they wanted to use it," said Institute for Security and Technology CEO Philip Reiner. He added that some companies were also confused about whether they were allowed to use other Anthropic models such as Mythos 5 or Fable 5 because it seemed like the Trump administration is interested in using them, too. But all experts interviewed by ISMG agreed that the Trump administration seems ready to continue the fight against Anthropic. "My advice is not to miss the chance to work with a company like Anthropic, but make sure you add an exit clause, and you don't go in blind in case things change," Reiner said.
Sony, Warner sue Anthropic over alleged use of copyrighted songs to train Claude
The music publishing arms of Sony Music and Warner Music have filed a lawsuit against Anthropic in a California federal court, alleging that the AI firm misused their copyrighted song compositions to train its Claude AI models. Sony and Warner said in the complaint, filed Friday, that Anthropic pirated hundreds of song lyrics and sheet music from The Beatles, Taylor Swift, Michael Jackson and hundreds of other artists to train Claude to respond to human prompts. The lawsuit alleges that Anthropic obtained lyrics and sheet music through piracy sources, including Library Genesis and the Pirate Library Mirror. According to the complaint, the company also scraped licensed lyric websites such as Musixmatch and LyricFind. The publishers claim Anthropic used the material as training data for Claude. READ: Court dismisses lawsuit against Apple over alleged child sexual abuse material on iCloud (July 15, 2026) "In blatant violation of copyright law, Defendants have unlawfully acquired troves of Music Publishers' musical compositions, and then systematically copied those works multiple times," the filing states, "including as the inputs to train Anthropic's Claude AI models and in the outputs those models generate." Scraping and distributing Musixmatch content violates the site's user agreement, while LyricFind's privacy policy similarly prohibits reproduction "unless otherwise stated," the suit says. Sony and Warner are seeking statutory damages of up to $150,000 for each song the court finds Anthropic willfully infringed. They are also seeking up to $25,000 for each instance in which copyright-management information was allegedly removed from a work. With the complaint covering at least "thousands if not tens of thousands" of works, the potential damages could reach billions of dollars. The songs named in the complaint include Marvin Gaye and Tammi Terrell's "Ain't No Mountain High Enough," Mariah Carey's "All I Want for Christmas Is You," Survivor's "Eye of the Tiger," Leonard Cohen's "Hallelujah," Mark Ronson and Bruno Mars' "Uptown Funk," The Beatles' "I Am the Walrus," and Taylor Swift's "Paper Rings" and "Cruel Summer." Anthropic rejected the allegations, saying the company will "defend ourselves robustly" in court. "This is the third lawsuit from the same lawyers, recycling allegations from cases already before the courts," an Anthropic spokesperson told Fortune. READ: Anthropic to develop custom AI chips for Claude (August 5, 2026) The law firm Oppenheim and Zebrak, which represents Sony and Warner in the new suit, first sued Anthropic in October 2023 alongside Universal Music Publishing Group, Concord Music Group and ABKCO over roughly 500 songs. The same publishers filed a second suit through the same firm in January, covering more than 20,000 works and seeking more than $3 billion. BMG and Round Hill Music have also sued Anthropic over music this year. The lawsuit comes as AI companies face increasing scrutiny over alleged copyright violations. Earlier this year, a U.S. federal court approved a record-breaking $1.5 billion settlement in a copyright dispute brought by authors and publishers against Anthropic. The plaintiffs accused the AI company of misusing their books to train Claude.
Anthropic launches Claude Fable 5.1 and says it's up to 45 percent cheaper for agentic work
Anthropic says its newest AI models, Fable 5.1 and Mythos 5.1, address criticisms from customers about price, data retention, and overzealous safeguards. The company claims Claude Fable 5.1 offers stronger performance than Fable 5, but costs around 25 percent less typically and up to 45 percent less for complex agentic tasks, thanks to reduced pricing on cached data that was already processed and stored. Along with the announcement, a slew of early impressions popped up, including from Every CEO Dan Shipper, who claims, "It's the strongest coding model we've used, but now it's fast, token-efficient, and crucially actually speaks like a normal person." Box CEO Aaron Levie is another early access believer, saying that his company's agent with Fable 5.1 picked up on subtleties and ambiguities in data that Fable 5 missed in the same test. Meanwhile, Lisan al Gaib points out that on benchmarks, Mythos 5.1 with low reasoning scores the same as its predecessor set to Max reasoning. Fable 5.1 also has "more precise safeguards" that Anthropic says are less likely to block basic biology questions than Fable 5, but Mythos 5.1 has the same biology restrictions as the previous model. Anthropic also explained its progress on data retention, saying that Enterprise Frontier Safeguards offer "complete privacy" by storing data on the customer's cloud servers instead of its own, and will start rolling out later this fall. Anthropic says it's "now allowing Fable 5.1 to be used for identifying software vulnerabilities," but it will still redirect some cybersecurity tasks to Opus models, like "penetration testing, exploit generation, and binary-based vulnerability scanning." Claude Fable 5.1 is now available on all platforms, while Mythos 5.1 is available to Project Glasswing participants only.
Cathie Wood Just Bought $17 Million of Cerebras Stock. Wall Street Sees 59% Upside.
Cathie Wood is doubling down on Cerebras Systems (CBRS) at a time when the artificial intelligence (AI) chip stock is struggling to regain its footing. Ark Invest bought another 93,290 Cerebras shares on Aug. 25 across multiple exchange-traded funds (ETFs), worth roughly $17.2 million based on the reported purchase value. That follows additional buying earlier in August. The timing is notable. Shares of Cerebras have fallen sharply from their May peak and remain extremely volatile. CBRS stock is down 7% over the past month and 26% over the past three months. The stock has swung between a 52-week high of $386.34 and a low of $160.81. More News from Barchart Why is Wood buying the dip? Let's take a closer look. Cerebras Stock Is Still a High-Growth AI Bet The answer starts with Cerebras' positioning in the fast-growing AI inference market. Unlike Nvidia (NVDA), which dominates the broader GPU market, Cerebras focuses on wafer-scale computing designed to deliver extremely fast AI inference. That could become increasingly important as businesses move from training AI models toward running them in real time. Cerebras has also been expanding beyond selling AI accelerators. It is building an inference cloud business and working with major technology companies including OpenAI, Amazon's (AMZN) Amazon Web Services (AWS), and Advanced Micro Devices (AMD). The company recently unveiled its CS-4 system, which it says can deliver up to 30 times faster inference than GPU-based alternatives. Cerebras is also working with AMD on a disaggregated inference architecture that can deliver up to five times higher throughput per watt in certain configurations. That gives Wood a larger thesis than simply betting on another chip company. She is effectively betting that AI inference becomes one of the biggest infrastructure markets of the next decade. Cerebras' Valuation Leaves Little Room for Error The biggest risk is valuation. Cerebras currently has a market capitalization of about $42.5 billion and annual sales of roughly $510 million. The price-to-sales (P/S) ratio is 60 times, an enormous premium for a company that is still losing money on a GAAP basis.
Salesforce stock jumps 18% on AI growth and Anthropic investment gain
Salesforce reported strong financial results in its fiscal second quarter ended July 31, driving a significant jump in its stock price. The company's revenue climbed 11% year-over-year, while net income surged 87% compared to the prior-year period. On a per-share basis, the company earned $4.29 in net income, up from $1.96 a year earlier. A substantial portion of the earnings gain came from strategic investment holdings. Salesforce recorded a $2.6 billion gain on investments linked to artificial intelligence startup Anthropic, in which the company holds a stake. The valuation of Anthropic reached $965 billion following a funding round completed earlier. Free cash flow performance also stood out, climbing 81% to $1.10 billion, exceeding analyst consensus expectations of $643.2 million. Looking ahead, Salesforce issued guidance that again topped analyst expectations. For the third quarter, the company projected adjusted earnings between $3.42 and $3.44 per share on revenue between $11.42 billion and $11.50 billion, compared to consensus estimates of $3.38 and $11.41 billion respectively. Full-year revenue guidance was raised to $46.1 billion to $46.4 billion, representing approximately 11% growth at the midpoint. During the period, Salesforce announced significant business developments, including a $1.6 billion contract with the U.S. Department of Veterans Affairs and plans to acquire customer service startup Fin for $3.6 billion. The company's artificial intelligence product line showed robust expansion, with annualized revenue from Agentforce AI products exceeding $1.5 billion, up 240% year-over-year. However, the vendor noted some challenges in selling integration and analytics software licenses. Despite the strong quarterly performance, Salesforce shares remained down 22% year-to-date as of Wednesday's close, significantly trailing the S&P 500's 12% gain. Company leadership addressed concerns about generative artificial intelligence disrupting traditional software businesses, with co-founder Marc Benioff stating that predictions of software industry decline have not materialized. Article Attribution | Read More at Article Source Article summary produced by Claude AI
Anthropic Books $35 Billion To Nvidia-Backed Lambda For Cloud Capacity
A major $35 billion AI deal sees Anthropic securing computing capacity from Lambda, a cloud provider buying chips from Nvidia. The arrangement involves Hut 8, a data center landlord, leasing its Texas facility to Nvidia for 15 years, a deal worth nearly $20 billion. Nvidia's role as the anchor tenant is critical, as it underwrites its own demand forecast, making the project financeable. This contrasts with past vendor financing risks, as Nvidia backs a strong ecosystem amid soaring AI compute demand. Anthropic alone has committed $180 billion to capacity recently. The deal underscores that energized, leased data center capacity is now the scarcest AI asset, attracting long-term commitments from industry giants. Four companies are stacked inside the biggest AI deal of the week, and the order in which they carry its risk says more than the headline number. Anthropic has agreed to pay roughly $35 billion to Lambda, a cloud provider preparing to go public, for computing capacity at a single Texas data center campus. Lambda will fill that campus with chips it buys from Nvidia. Hut 8, a bitcoin miner that rebuilt itself as a data center landlord, owns the land and the buildings. And the tenant signed to the 15-year leases underneath the whole arrangement, according to the Financial Times, is Nvidia. When the company that sells the chips also signs the lease on the building they will run in, it is underwriting its own demand forecast. Nvidia is sure enough about who will need this capacity, and for how long, that it has agreed to pay the rent either way. Who Owes What To Whom The Wall Street Journal reported the Anthropic agreement first, and Bloomberg and Reuters confirmed it within hours. None of the four companies has commented publicly, so the terms describe reported figures, and the length of Anthropic's contract has not been disclosed. The venue is better documented. The campus is Beacon Point in Nueces County, Texas, near Corpus Christi, which Hut 8 fully commercialized this summer through two identical 15-year leases of 352 megawatts each. Each lease carries a base-term value of $9.8 billion with a 3 percent annual escalator, and renewal options stretch the potential total toward $50 billion. The leases are triple net, so the tenant pays taxes, insurance and upkeep on top of rent. Whoever signed those leases owes Hut 8 close to $20 billion no matter what happens to the AI market. Hut 8 would only describe that tenant as a high-investment-grade company. In July the Financial Times, citing five people familiar with the arrangement, identified it as Nvidia. The site has a signed interconnection agreement for a full gigawatt of utility power and is targeted to begin energizing in the first quarter of 2027. MORE FOR YOU Lambda's seat in the middle is the one that made the deal possible on short notice. The firm rents access to Nvidia GPUs at scale, and counts Nvidia as both an investor and its largest customer. It is also in talks to raise about $3 billion ahead of an IPO that could come in the second half of this year. Anthropic, for its part, ran into a compute shortage earlier this year as Claude usage grew. Since then it has been signing capacity wherever credible capacity exists: $45 billion with Nscale in West Virginia last week, more than $100 billion with Amazon Web Services in April, and now Texas. Add it up and Anthropic has committed roughly $180 billion to computing capacity in five months. Hut 8 owns the buildings and Nvidia signs the leases. Lambda buys the chips and Anthropic pays for the compute. Each participant is doing the one thing it is built for. Anthropic needed capacity, Lambda needed scale, Hut 8 needed a tenant it could take to lenders, and Nvidia guaranteed the building so the other three could move. The Vendor Financing Ghost The reflex objection writes itself, because the market has seen chip and equipment vendors stand behind their own customers before. Between 1999 and 2001, Lucent committed $8.1 billion in financing to telecom carriers buying its gear, Nortel extended $3.1 billion, and Cisco promised $2.4 billion, much of it unsecured and tied to future purchases. When bandwidth demand failed to appear, 47 carriers went bankrupt and Lucent wrote off roughly $3.5 billion in customer loans. That history is why every arrangement where Nvidia's money sits near Nvidia's revenue gets read as a warning. The analogy fails on the direction the credit flows. Lucent lent to the weakest companies in its chain, unprofitable startup carriers whose survival depended on demand that did not exist yet. The strongest balance sheet in that system spent years propping up the most fragile ones. At Beacon Point the strongest balance sheet took the obligation onto itself. Hut 8 collects rent from a tenant that just reported a $96 billion quarter, whatever happens to anyone else in the stack. The end buyer bears no resemblance to a 1999 carrier either. Anthropic disclosed a run-rate above $30 billion this spring, up from about $9 billion at the end of 2025. The carriers went broke waiting for demand to show up; Anthropic's trouble is keeping up with it. Why Nvidia Takes The Lease A chip company has no obvious business paying rent on real estate for fifteen years, so the seat must be worth something. Start with the buildings themselves: the campus is being built to Nvidia's DSX reference architecture, its blueprint for gigawatt-scale AI facilities, which means the halls are shaped around Nvidia systems years before the racks arrive. The operator inside is a company Nvidia funded and supplies, so the chips, the facility spec and the cloud layer all resolve to one ecosystem. And the lease converts Nvidia's demand visibility into the one thing data center developers cannot borrow: a creditworthy anchor tenant who makes the project financeable. That last point is the structural shift. Infrastructure has always been built this way, with a long contract from a strong counterparty standing as the collateral that unlocks construction lending. In West Virginia, Anthropic's own signature played that role for Nscale. In Texas, the anchor-tenant seat is occupied by the vendor itself, which then fills the building through its own ecosystem. Nvidia has effectively moved from selling chips into projects other people underwrite to underwriting the projects its chips get sold into. Reported deals of this size eventually leave a paper trail, and this one will leave three. Lambda's prospectus, if the IPO arrives on the reported second-half timeline, would put the Anthropic contract and the Nvidia relationships into a filed document for the first time. Anthropic's own S-1 will show how contracted capacity sits against its revenue curve. And Beacon Point either begins energizing on its first-quarter 2027 target or it does not, a date any reader can check against a calendar. The structural read is simpler than the deal diagram. Demand for AI compute is strong enough that the scarcest asset in the industry is not chips but energized, leased capacity, and the durable money is flowing to whoever controls it. Landlords holding long triple-net paper on powered land, Hut 8 being the example in plain view, are collecting fifteen-year commitments from the most creditworthy company in the sector. The chips get the headlines, and the buildings get the 15-year contracts.
Cerebras Signs Seven-Year Finland Data Center Deal. Stock Falls Anyway - Cerebras Systems (NASDAQ:CBRS)
Cerebras Systems Inc. (NASDAQ:CBRS) shares are trading lower during Tuesday's session amid news of a new AI data-center buildout in Finland. The move suggests the stock is still behaving like a higher-beta AI name that can slip with the broader market even when the headline is expansion-focused. Announces Finland AI Data Center Expansion Cerebras Systems disclosed plans for a new AI data center in Mikkeli, Finland, in partnership with Compute Nordic Finland. The facility will be developed in phases, ultimately reaching 165 MW of contracted IT capacity, with construction already underway on the initial 50 MW phase. Trending The agreement consists of multiple service orders, each carrying a seven-year term, providing Cerebras with dedicated, long-term infrastructure to meet rising global demand for its AI compute platform. The project is also expected to establish a long-term industrial presence in the Mikkeli region, generating significant estimated revenue and supporting sustained employment opportunities. CBRS Technical Outlook: Trend, Momentum And Key Support The broader backdrop is also soft, with Nasdaq tracking weaker (QQQ: -1.5%) and S&P 500 down 0.76%, which can matter for CBRS given how tightly AI infrastructure names often trade with growth sentiment. Zooming out, the stock is down over 42% over the past 12 months, so rallies have needed clear follow-through to change the longer-term trend. From a trend perspective, CBRS is trading over 15% below its 20-day SMA ($212.57) and 12.2% below its 50-day SMA ($203.90), which keeps the near-term structure tilted toward "sell-the-rip" until price can reclaim those zones. Even though the 20-day SMA is still above the 50-day SMA (a bullish crossover), price being well below both averages is a reminder that the crossover hasn't translated into sustained upside yet. For momentum, MACD is the cleaner read right now: it's below its signal line and the histogram is negative, which points to fading upside pressure versus the prior upswing. In plain English, MACD compares faster and slower trend signals -- when it sits below the signal line, it often means buyers are losing control unless momentum rebuilds. * Key Support: $173.50 -- a nearby level where buyers previously stepped in, and it sits not far above the 52-week low area ($160.81), making it a spot traders may defend if weakness continues. CBRS Earnings Preview And Analyst Price Targets Looking further out, the next major catalyst for the stock arrives with the November 19, 2026 (estimated) earnings report. * EPS Estimate: Loss of 14 cents * Revenue Estimate: $214.90 million Analyst Consensus & Recent Actions: The stock carries a Buy rating with an average price forecast of $291.64. Recent analyst moves include: * Rosenblatt: Buy (Maintains Target to $300.00) (Aug. 19) * Needham: Buy (Maintains Target to $300.00) (Aug. 19) * UBS: Buy (Raises Target to $330.00) (Aug. 13) CBRS ETF Exposure: Funds With The Biggest Positions * Capital Group US Small and Mid Cap ETF (NYSE:CGMM): 1.54% Weight * Innovator Deepwater Frontier Tech ETF (NYSE:LOUP): 5.56% Weight * REX IncomeMax Option Strategy ETF (NASDAQ:ULTI): 5.25% Weight Significance: Because CBRS carries significant weight in these funds, any significant inflows or outflows for these ETFs will likely force automatic buying or selling of the stock. CBRS Stock Slides In Trading CBRS Stock Price Activity: Cerebras Systems shares were down 3.6% at $177.50 at the time of publication on Tuesday, according to Benzinga Pro data. Markets Cathie Wood Loads Up on Cerebras Systems Stock as AI Chip Race With Nvidia Heats Up -- Ark Keeps on Dumping AMD Shares Ark Invest bought roughly $17 million in Cerebras shares Tuesday, Aug. 25, 2026, while trimming its Tempus AI and AMD positions 3 min read Read this article Photo via Shutterstock Market News and Data brought to you by Benzinga APIs To add Benzinga News as your preferred source on Google, click here.
Anthropic's $35B cloud deal with Lambda adds new layer to circular financing concerns
Anthropic (ANTH.PVT) has signed a $35 billion cloud deal with Lambda (LAMD.PVT), according to Wall Street Journal reporting. Lambda is backed by Nvidia (NVDA). Morning Brief Host Julie Hyman is joined by Yahoo Finance Breaking Business News Reporter Jake Conley and Senior Reporter Pras Subramanian to take a closer look at this network of AI deals -- Nvidia owns the lease on the data center site, which will be built by Hut 8 -- and weigh in on the circular nature of the AI landscape.
Anthropic's $35B cloud deal with Lambda adds new layer to circular financing concerns
Morning Brief Host Julie Hyman is joined by Yahoo Finance Breaking Business News Reporter Jake Conley and Senior Reporter Pras Subramanian to take a closer look at this network of AI deals -- Nvidia owns the lease on the data center site, which will be built by Hut 8 -- and weigh in on the circular nature of the AI landscape. Today's deal is Anthropic signing a 35 billion cloud deal. It's backed by Nvidia, but it's with an Nvidia backed company called Lambda and Hut 8 is going to be the developer of this data center. So there's a lot of fingers in the pie for this one. Which I had to I had to draw it out. I had to draw it out for today. There you go. That's a good use of your phone. I couldn't I couldn't I was like, how is this? It literally is a circle. Okay, so what so what so I wish we had a graphic of that. I don't know if I have this correctly, but you have Anthropic, right? Give me 35 billion to Lambda, right? for the compute, right? Lambda giving money to Hut 8 for the for the data center. You have Nvidio over here giving money to Hut 8 for investment, right? which they do. Hut 8 paying Hut 8 paying for the chips, right? And holding the lease. And also to or leasing it. I don't know who knows how that how this part works. And then of course, Nvidia investing in Anthropic. The whole circle is complete, right? Yes. And also invest like Nvidia's at the center because it's investing in all of these things and handing out money to all of these It supplies the chips. It backs the provider. It holds the least. But I had to draw it out because it just was again, we were the circular deals can be kind of confusing if you don't actually look it at it schematically. Right. Um and then you're saying, why is there one company in the middle of everything? Yeah. Right. Yeah. Well, every few weeks, one of the big investment banks comes out with a new chart of all of Nvidia's deals it's made kind of mapping the whole picture. and the web just keeps getting more and more and more complex. We were meeting this morning, kind of going over what we were going to talk about today. You made what I thought was a very smart point that with these deals, we're getting to a point of dog bites man. Oh, yeah, yeah, yeah. But my worry with the dog bites man approach is like, sure, it's a Tuesday, we have another billion dollar deal. Does it risk complacency that we're going to start missing things if we're not really paying as much attention as we were six months ago? Um, I guess. I mean, missing what? What are we looking for? Because the risk is growing, the leverage is growing, the circularity to process point of it all is growing. It's getting more and more and more tangled and I worry that we risk losing sight to your point. Who knows how any of this actually who can actually draw this out on a map of how this all looks? So I look at it from like the auto point of view, because I always do that, right? So it's okay, so, if you're GM, right? You have a captive finance arm, okay? I'm going to finance my customer's cars. Great. That's not too bad. But I think the the little wrinkle is if it's almost as if the customer, okay, so I'm I'm I'm financing the customer, he buys my product, and then there's some other third party that I'm also investing in that holds the debt, you know, like it just it seems like it's more more convoluted than just vendor financing, right?
Anthropic's $35B cloud deal with Lambda adds new layer to circular financing concerns
Anthropic (ANTH.PVT) has signed a $35 billion cloud deal with Lambda (LAMD.PVT), according to Wall Street Journal reporting. Lambda is backed by Nvidia (NVDA). Morning Brief Host Julie Hyman is joined by Yahoo Finance Breaking Business News Reporter Jake Conley and Senior Reporter Pras Subramanian to take a closer look at this network of AI deals -- Nvidia owns the lease on the data center site, which will be built by Hut 8 -- and weigh in on the circular nature of the AI landscape.