Now that President Trump has instructed the Pentagon to blacklist Anthropic, the only AI model operating inside classified defense systems could take a massive financial hit.
The big picture: Being labeled a "supply chain risk" not only ends Anthropic's $200 million Defense Department contract, but it also forces anyone seeking to do business with the U.S. military to cut ties with the AI firm.
Federal agencies may now have a Claude problem after President Trump's order to blacklist Anthropic from all government work amid a dispute over how the Pentagon can deploy its AI.
Why it matters: If Trump's demands hold, Anthropic's federal business could stall overnight — and leave agencies scrambling to unwind major AI projects and pilots.
A potential U.S. strike on Iran is exposing a quiet but consequential split inside the Senate Democratic caucus.
Why it matters: The Democratic base strongly opposes war with Iran, but some of Senate Minority Leader Chuck Schumer's (D-N.Y.) colleagues are more open to military action — provided Congress has a say.
Madhu Gottumukkala, acting director of the Cybersecurity and Infrastructure Security Agency, has been reassigned to a role at Department of Homeland Security headquarters, a senior DHS official confirmed.
Nick Andersen, CISA's top cybersecurity official, will replace Gottumukkala as acting director while Congress reconsiders Sean Plankey's nomination to lead the agency.
Why it matters: It's the latest shake-up at CISA, which helps defend government agencies and U.S. critical infrastructure from cyberattacks, after significant budget cuts and the loss of at least one-third of its staff to buyouts and early retirements over the last year.
President Trump hasn't been shy about deploying the U.S. military during his second term.
Why it matters: Despite promoting himself as a president of peace, he's deployed the U.S. military in multiple American cities and across the globe, striking Iran and others, raiding Venezuela and striking suspected drug boats in the Caribbean.
Key Senate defense leaders on Friday are privately pressing Anthropic and the Pentagon to resolve their dispute, a source familiar with the matter told Axios.
Why it matters: Pressure has been building on Congress to step in as the Pentagon and Anthropic engage in a prolonged public battle over the limits of the use of Anthropic's Claude AI in classified settings.
Former President Bill Clinton in a depositionsaid he "did nothing wrong" during his acquaintance with sex offender Jeffrey Epstein, but their connections have been noted for years.
Why it matters: Clinton is among the highest-profile figures named in the Epstein files and would be one of the most prominent witnesses to testify about his connections to the former financier.
Senate Democrats are demanding more information from Commerce Secretary Howard Lutnick about his connection to the late Jeffrey Epstein.
Why it matters: Scrutiny of Lutnick, one of President Trump's top Cabinet officials, is intensifying after it was revealed that he was in contact with Epstein as recently as 2018.
Former President Bill Clinton testified under oath that he had no knowledge of Jeffrey Epstein's crimes and "did nothing wrong" during a deposition before the House Oversight Committee on Friday.
Why it matters: Clinton's testimony marks the first time that a former president has been compelled to testify before a congressional committee under subpoena.
Republicans want the upcoming surface transportation bill to require EV owners to pay more. Democrats want it to address climate change. And businesses see it as a way to overhaul how federal permits are awarded.
Why it matters: With that many competing interests, there's a higher risk that Congress won't be able to pass a bill quickly —and a lapse could create funding gaps or uncertainties for fixing roads and other projects.
Following the Supreme Court's blow to President Trump's sweeping tariffs agenda, the prospect of compensation for Americans remains an open question.
The big picture: A growing number of Democrats, however, are declaring that Americans are owed billions in compensation, which amounts to about $1,700 per household.
The Trump administration's 2026 health care agenda is shaping up to look pretty different from last year's — and that's not going over very well with some of the "Make America Healthy Again" faithful.
Why it matters: Vaccine politics is becoming a trip wire in administration efforts to overhaul America's public health system before the midterm elections.
Even with rising costs, power is a small slice of what Big Tech spends on data centers.
Why it matters: This is why deep-pocketed tech companies are voluntarily offering up pledges to pay for their own power. To them, it's just not that much money.
For the first time in 25 years of Gallup polling, more Americans say they sympathize with Palestinians than with Israelis — a striking shift in U.S. public opinion.
The Federal Aviation Administration prohibited flights in a Texas region near the border with Mexico after the Defense Department accidentally shot down a border patrol drone on Thursday, an administration official told Axios.
The big picture: Per an FAA notice, the agency issued airspace restrictions "for Special Security Reasons" after the Pentagon shot down the drone in the area around Fort Hancock, just over 50 miles southeast of El Paso — the scene of a similar airspace closure earlier this month.
The Democratic Congressional Campaign Committee is coming under fire from an unlikely adversary: Outsider Democratic congressional candidates.
Why it matters: It's a rare moment of internal party infighting spilling out into public view, with candidates raging that the House Democratic campaign arm picked favorites by endorsing a dozen candidates earlier this week.
The top U.S. military commander in the Middle East briefed President Trump on Thursday about the options for military action against Iran, according to a U.S. official and a source with knowledge of the meeting.
Why it matters: This was the first time the commander of the U.S. military Central Command Adm. Brad Cooper briefed Trump since the beginning of the crisis with Iran last December.
