The White House's use of export controls to restrict access to Anthropic's latest AI model could harm the long-term financial prospects of the entire U.S. AI industry, as valuations for Anthropic and OpenAI depend on global adoption of their most advanced models. If the move is more than a temporary blip, "it's not great news for U.S. tech firms or for those assuming breakneck speed of AI adoption," wrote Jim Reid, global head of macro at Deutsche Bank. Hundreds of billions of dollars are being spent by data center hyperscalers and AI labs, but their calculations work only if the government doesn't cut off access every time they achieve that goal. Businesses paying for AI models need to ensure they can keep access, as "you can't rely on something that could be switched off," Reid says. Martin Chorzempa of the Peterson Institute noted that "everyone who uses AI will see the writing on the wall that future AI models from OpenAI and Google are also going to be seen as having potential serious security risks." Companies are already wary about locking in contracts with major AI labs, and now add "potential regulation" to reasons for diversifying AI tools, which could put a ceiling on revenue growth for OpenAI and Anthropic before both are expected to go public later this year. The models Anthropic can no longer offer were pricey to run, and the government shortened its subsidy window for its most expensive model ever. Export controls encourage development of alternative suppliers, and the move