Claude Fable 5, the most powerful AI

model ever released, has been banned

across the world. This is, and I mean

this, the biggest news story of the past

3 years and has the potential to crash

the entire global economy if not

reversed in the next 2 days. Let's go

over what this means, how it happened,

why Anthropic is 100% to blame, what you

should be doing right now, and why I

believe the entire global economy is

dependent on Trump reversing this

decision immediately. We have a lot to

cover. This is, without a doubt, the

craziest news story of a very, very long

time. Let's start with the timeline here

and how we got to this point. Claude

Fable 5 was released 3 days ago.

Basically, everyone who has used it

agrees it is not only the greatest AI

model ever released, but it is probably

the biggest technological jump of our

lifetimes. Before this Opus 4 5, when

that came out, really blew people's

minds. The jump up in quality of code

written and decisions the AI can make

were mind-blowing. This took that to a

whole new level. What I've been able to

build with Fable 5 the last few days has

been mind-blowing. But then, tonight,

the news hits my phone. Anthropic

announces that Trump demanded they shut

this model down. They put out this huge

statement that covers a lot of different

things here, but let's break down what

this means. What What is this ban,

exactly? Here's what you need to know.

Basically, Trump said only Americans can

use Fable 5. All foreign nationals, both

inside and outside the country, can no

longer use this model. Why would he do

that? Why would he make this ban? Well,

for several reasons. Trump is claiming

that a jailbreak of this model was

released, which basically means people

can use this model and get past the

guardrails. They can use this model to

build very dangerous things. And because

this model is so powerful, it allows

basically anyone to create these

dangerous things. Anthropic slightly

refutes this statement. They said, "Yes,

jailbreaks have been found, but the

jailbreaks are not general jailbreaks,

right? A general jailbreak being you can

do quite literally anything you want

with the model like building chemical

weapons." Anthropic says it's more like

a spot jailbreak where you can only do

tiny little things here and there, but

they do admit there are jailbreaks

found. But they also said these same

jailbreaks are in every single model.

They narked and said chat GBT 5.5 have

the same jailbreaks. Here's where things

get really, really interesting though,

and this is going to tie into why I

believe we are about to see shockwaves

across the entire globe unless this is

reversed very quickly. Foreign nationals

inside Anthropic can no longer use Fable

5. People who literally work for

Anthropic, but they're foreign nationals

can no longer use the model they built.

There are so many repercussions that

come out of this. One is potentially big

layoffs if foreign nationals can no

longer work on frontier models at these

AI labs. One, the AI labs are going to

lay off the foreign nationals because

they're pretty much useless at the

company now, but two, they're going to

stop hiring them as well. So massive

disruption to the global workforce is

one, but two, and this is the big one,

and this is why I think this should be

reversed in the next two days or else

there are going to be major, major

consequences. A complete disruption of

the global supply chain. What does that

mean? Here is the circular economy that

the entire globe depends on right now.

We've been seeing this go on a lot,

right? AI companies like OpenAI will

sign massive $500 billion contracts with

Nvidia and Micron and other hardware

companies that provide the hardware

OpenAI and

need to train their models. These

contracts are for 5 to 10 years out,

right? They're projecting their revenue

over the next 5 to 10 years based on the

revenue growth they're having globally

at the moment, right? AI revenue is

exploding, so they're projecting out

revenue for the next 10 years, and

they're signing these massive, massive,

massive contracts with Nvidia and all

these other companies. Those companies

then turn around, take those hundreds of

billions and trillions of dollars, and

then invest it into other companies.

Sometimes, right back into Open AI and

Anthropic. This has basically been

carrying the global economy for the last

couple years. While inflation explodes,

people are losing jobs, there's never

been bigger profit margins, there's

never been bigger revenue beats,

companies have never been doing better.

And that is because of this circular AI

economy we've built. The issue is, and

this is why this is so dangerous, and I

believe this should get reversed by

Monday, if Anthropic can no longer

profit off of other countries and can

only profit off Americans, their revenue

is going to be significantly less over

the next 5 years than originally

projected. That means they will not be

able to fulfill these massive

multi-hundred-billion-dollar

contracts they just signed with Nvidia

and Micro and all these other hardware

companies. And because they won't be

able to fulfill those contracts, those

companies won't be able to fulfill the

contracts they have on the investments

with other companies, and this entire

circle collapses. Our global economy has

basically been built on the assumption

that AI will succeed. It's been built on

the assumption that these companies will

make trillions of dollars of profit over

the next decade. By having such a

massive disruption that Anthropic is no

longer allowed to sell frontier model.

They're still allowed to sell Sonnet,

Haiku, Opus, but they're no longer

allowed to sell Fable to other

countries. Even though it's just that,

that's still a massive disruption. That

means they're going to buy less chips to

train Frontier models on if only one

country can use it. That means they're

going to make less money off their

subscriptions, their models, and this

entire circle collapses. And this is the

circle that the whole world is basically

built on right now. I think it is not a

coincidence that this was announced on a

Friday night. It is 10:18 p.m. here in

Cabo, Mexico. I'm on vacation. I dropped

everything to cover this story. I don't

think it's any coincidence. Basically,

during the last 2 years of Trump's

second term, every huge piece of

financial news dropped on a Friday

night. He is very cognizant of the stock

market. He is very cognizant of the

economy. Every war he started has

started on a Friday night. It's never

started on a Monday. I don't think it's

any coincidence this was dropped on a

Friday night because if this goes to

Monday, if this was dropped on a weekday

while the stock market was open, I have

basically no doubt the entire stock

market would crash. The reason why the

Nasdaq's hitting all new highs, the

S&P's hitting all new highs, is the

assumption that these companies will be

spending trillions of dollars over the

next 10 years. That assumption is

destroyed on this news. It appears,

based on what's on TV, and this is not a

political channel. I'm not into

politics. It appears Trump is into the

stock market. I do not think he would

want the entire global economy and stock

market to crash. So, I have the belief

that this will be reversed by Sunday,

which personally and selfishly I'm

hoping happens because I've absolutely

fell in love with this Fable model. The

amount of building I've been able to do

over the last few days has been absurd.

Two more things I want to cover. First,

why this is all Anthropic's fault.

Anthropic has basically spent the last

couple years using fearmongering as a

marketing tactic. They've basically been

saying AI is going to take every job,

it's going to kill everything, it's

going to destroy everything. It's the

basically it's a doomsday. This all kind

of crescendoed a couple months ago when

Mythos was announced, what Fable is

based off of. They said Mythos is too

dangerous, we can't give it to the

people, we can only give it to certain

companies, we can't release this, that

would be too dangerous. Too dangerous to

put out in public. Then they go around

and they put out articles saying the

government should have the power to

block and deter and stop dangerous AI

models. What they were thinking they

were doing, and this is my opinion, was

setting themselves up to determine the

rules. I think they were trying to

capture policy, right? They were trying

to help dictate what the rules in

America would be. I don't think what

they actually expected was what would

happen tonight, which is the government

would use what they were asking for

against them, right? They asked the

government to be able to block any sort

of powerful models that are too

dangerous. The government just did that

to them. They asked for this. They've

been asking for this type of thing to

happen for a very long time. They've

been using fearmongering when they

should have been using hope instead, and

that fearmongering has bit them in the

wazoo. This is something they probably

regret deeply. I mean, they've walked

back the fearmongering over the last few

weeks, it seems, cuz I think they

started to see what's happening here.

But this happening is 100% Anthropic's

fault. I I believe they didn't use

fearmongering in the marketing of

Mythos, this would have never happened.

But because they talked about how

dangerous this is, now it is banned and

no one can use it. So here's the big

one, what this means for you. It means

that chat GPT 5.5 is most powerful model

again. This was the model I've been

using for the past few weeks before

Fable came out. I absolutely loved it. I

think it's the first time in basically a

year and a half that GPT had the best

coding model. Fable changed that. When

Fable came out, I said, "Well, this is a

wrap. There's no way OpenAI will ever be

able to catch up this cuz Fable is so

incredible." Well, guess what? It took

Fable getting banned for ChatGPT to come

back. 5.5 is the model you need to be

using now for any sort of coding or

building and even just business planning

talking. I find 5.5 to be fantastic.

Also, you get way higher limits. You can

use ton of it and it's much cheaper than

Fable. But, here's another one and this

is something I've actually been talking

about for a long time now. I've been

making predictions about this for months

and months and months and it turns out

all of those predictions are 100% true.

I've been saying for months now local AI

is the future. I've been saying we're

going to reach a time where governments

and corporations are going to be taking

away your models. They'll be making them

way too expensive and they'll be making

it hard for the average person to access

them. And here we are now, June 12th,

the average person, really nobody can

access the model. Even people inside

Anthropic can access the model anymore.

By buying hardware, by buying your own

compute and running your own AI models

locally, no one can take that away.

There's no government that can take away

your Mac Studio running Qwen 3.6.

There's no government that can take away

your DJI Spark that's running GLM 5.1.

No one can take that away from you and

that's why I believe open source and

local models are the future because I

think this is only the beginning. I

think things like this will only

continue to happen and ramp up. I just

hope we don't face a situation over the

next few days where these decisions lead

to an economic collapse that impacts way

more people than just the vibe coders

who are building stuff with Fable right

now. I hope this was helpful. I hope

this got you up to date on everything

going on. If it did, leave a like down

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All I do is make amazing videos about

AI. If things change, I will get out of

the hot tub, come back up here, and

report on it. I will see you in the next

video.