The US government has imposed export controls on Anthropic’s Fable 5 AI model, restricting foreign nationals’ access to the technology. Anthropic took the model offline after receiving the order, citing concerns over compliance. This move has sparked a mess in the tech industry and raises questions about the effectiveness of the US AI regulatory regime. With Fable 5 still offline, the incident highlights the challenges of regulating powerful AI technologies. Why it matters: The US government’s approach to AI regulation is being closely watched by the tech industry and foreign governments, with some fearing it could be used as a tool for political leverage.