Claude Fable 5 will be included in all Max and Team Premium plans starting July 20, but with sharply reduced limits. The bonus usage phase ends the same day, cutting regular limits by 33 percent. Fable 5 will only be available at 50 percent of those already reduced limits. Pro and Team Standard subscribers effectively lose access. They'll get a one-time $100 usage credit, then have to pay API prices. That $100 probably won't last long.
Anthropic announces revised Fable 5 access plans on X, offering Max and Team Premium users 50 percent of limits and Pro users a one-time $100 credit. | Image: Anthropic
Meta is reportedly in talks with Anthropic to rent out compute capacity from its data centers. The deal could be worth up to $10 billion over two years, according to the New York Times. Anthropic pitched the arrangement in June. Meta is still reviewing it, and either side could walk away. For Meta, this would open a new revenue stream. CEO Mark Zuckerberg had already told investors he could sell excess capacity if the company's own AI demand didn't keep pace.
Meta plans to spend up to $145 billion this year, mostly on AI. The company is also building out new revenue sources with paid AI subscriptions like "Meta One" and even investing in space-based solar power for its data centers. Anthropic needs the extra capacity because demand for Claude Code has surged. The company already signed a $45 billion deal with SpaceXAI. Long term, though, Anthropic wants to build its own data centers and has hired former Google executives to lead that effort.
OpenAI's new AI model, GPT-5.6, has unexpectedly deleted user files "in a handful" of cases. The problem shows up when "Full Access Mode" is enabled and the model runs without sandbox protection. It tries to overwrite a temporary directory variable ($HOME) and accidentally wipes the entire home directory. As OpenAI puts it, "The model makes an honest mistake."
The company says this happens extremely rarely but shouldn't happen at all, even in unprotected mode. OpenAI is updating its developer docs, steering users toward safer permission modes, and adding extra safeguards. A post-mortem is expected in the coming days.
Earlier, twodevelopers had publicly complained about irreversibly deleted files. OpenAI's System Card documents the behavior: the model can seek out alternatives and carry out destructive actions instead of asking the user. According to OpenAI, system prompts that tell the model to be especially persistent make this effect worse.
Moonshot AI has released Kimi K3, a model that by early assessments matches Anthropic’s Opus 4.8, built by a team of just 300 people. Even OpenAI strategist Dean W. Ball calls it “very good,” but, of course, warns that a world dominated by open-weight models would amount to “AI communism.” The release is reigniting the debate over how much computing power actually matters and whether U.S. export controls are working.
Linux creator Linus Torvalds has come out strongly in favor of AI tools in kernel development. “Linux is not one of those anti-AI projects,” he wrote on the kernel mailing list amid a debate over Sashiko, the Linux Foundation’s AI-powered code review tool. Torvalds said he would “very loudly ignore” anyone who tries to talk others out of using it.
Netflix now uses AI in about 300 productions, mostly in post-production. Co-CEO Ted Sarandos shared the numbers during the company's latest earnings call. AI speeds up the entire pipeline, he said, from concept development and previsualization through delivery. Specific use cases include expanding crowd scenes and historical battle sequences that would have been cut for budget or time reasons without the technology.
The docuseries "The American Experiment" includes 17 minutes of AI-assisted footage, produced twice as fast at half the cost, according to Sarandos. The savings "likely" go toward more content, not shrinking Netflix's $20 billion budget. "[…] it takes great artists to make something great, and AI is not changing that. AI will give creatives better tools to bring their visions to life" Sarandos said. Beyond its Interpositive tool, Netflix also uses Eyeline and runs its own animation lab.
Netflix's rollout shows how fast AI is spreading through entertainment, even as creative pushback continues. ByteDance's video model Seedance has drawn official criticism too, but Simpsons producer Joel Kuwahara says many studios quietly use it behind the scenes. The industry's attitude, Kuwahara says, follows a "don't ask, don't tell" approach.
Kimi is launching K3, a multimodal open-weight model with 2.8 trillion parameters and one million tokens of context. In the company’s own benchmarks, it comes close to Claude Fable 5 and GPT 5.6 Sol while beating Opus 4.8 and GLM 5.2, in some cases by a wide margin. The model is also significantly pricier than its predecessor. Full weights are scheduled for release by July 27.
Google is renaming NotebookLM to Gemini Notebook and integrating the tool more deeply into its ecosystem.According to VP Josh Woodward, about 30 million people and 600,000 organizations use the tool. A new feature gives each notebook its own cloud computer that can write and run code, initially for AI Ultra and Workspace customers. In internal comparisons, the new system wins over 65 percent of the time against its predecessor, jumping to 78.2 percent for advanced web research. More users will get access over the coming weeks.
Separately, Google Search is getting app integration. Users can already connect apps to the Gemini app, and now that feature is coming to Search. Starting this week in the US, people can link apps like Instacart, Canva, and YouTube Music through AI Mode and use them directly from Search, whether that's adding ingredients to an Instacart cart, pulling up Canva templates, or building a playlist in YouTube Music.
