It's Monday, June 8th: a bipartisan House draft would put a three-year hold on state AI rules and Google quietly agreed to pay SpaceX nearly a billion dollars a month for compute. Plus: we go deep into Anthropic’s claims that they have taken a meaningful step toward developing RSI.

Covering what’s happening on the ground in AI, every Monday.
1️⃣ FEDERAL PREEMPTION: Washington Drafts A Three-Year Freeze On State AI Rules
A bipartisan House draft, the Great American AI Act, would freeze state laws on how frontier AI is built for three years, while requiring the largest labs to disclose catastrophic risks to a federal office.
The 269-page draft from Reps. Jay Obernolte and Lori Trahan would preempt state rules on how models are trained for three years, overriding frontier-safety laws in California, New York, and Illinois while leaving privacy, deployment, and child-safety laws to the states.
Labs with more than $500 million in annual revenue would have to publish a safety framework, submit to semi-annual third-party audits, and flag any model posing a "catastrophic risk," defined as a foreseeable threat of 50 or more deaths or $1 billion in damage.
It would write the Center for AI Standards and Innovation into law inside the Commerce Department, fund it at $100 million a year through 2029, and carry civil penalties up to $1 million a day.
The Colorado AI Act, set to take effect June 30, is among the first laws it would sideline, and the reaction split fast: industry groups welcomed a single national standard while the AFL-CIO called it a "giveaway to the AI industry" and Brad Carson, president of Americans for Responsible Innovation, called preemption a "generational mistake."
If this draft becomes law, the companies building frontier models answer to one federal rulebook instead of fifty, and states lose their fastest tool for setting AI safety rules on their own terms. Watch whether it gets formally introduced before Colorado's law takes effect on June 30, the first real test of whether Washington can outrun the statehouses.
2️⃣ COMPUTE CRUNCH: Google Starts Renting AI Chips From Elon Musk
Google will pay SpaceX about $920 million a month, roughly $30 billion over the term, to rent around 110,000 NVIDIA GPUs, leaning on Elon Musk's company for bridge capacity to feed its Gemini agent platform.
The deal runs from October 2026 through June 2029 and routes Google's overflow to xAI's Colossus campus near Memphis, the supercomputer site Musk built after folding xAI into SpaceX in February.
Google designs its own TPU chips and guides to more than $180 billion in capital spending this year, and still came up short. It called the deal "a short-term, timely agreement to ensure we have bridge capacity to meet surging customer demand for our agent platform, Gemini Enterprise, which has been even higher than we expected."
SpaceX is now an AI landlord renting to its rivals. It already collects $1.25 billion a month from Anthropic for all of Colossus 1, so Google's contract runs about half that scale.
The agreement surfaced in SpaceX's IPO paperwork, filed about a week before its planned Nasdaq debut at a roughly $1.75 trillion valuation, which would be the largest listing ever.
The scarce resource in AI right now is chips and the power to run them, and even the company that designed its own AI silicon is paying a rival to get more. If your 2027 roadmap assumes cheap, plentiful compute, price in the squeeze now, because the firms with the deepest pockets are already bidding against each other for it.
FROM AI COLLECTIVE COMMUNITY
✍️ Virtual Lunch & Hack: Hacking Claude Code Memory with RoBrain.dev

Image from Luma
Join us for the first edition of Virtual Lunch & Hack, a biweekly online event where builders, founders, engineers, and AI enthusiasts come together to learn, build, and connect.
Each session starts with a short talk from industry leaders, followed by a hands-on hacking session where you'll build something in real time alongside the community. Whether you're an experienced developer or just getting started with AI tools, you'll leave with new ideas, practical skills, and something you've created yourself.
For our inaugural event, we'll explore how to improve AI coding workflows by hacking Claude Code memory with RoBrain.dev, an open-source shared memory system designed to help AI agents understand decisions, context, and prior work across sessions.
We'll wrap up with live demos from selected participants, and a few builders will win lunch on us, sponsored by RoryPlans.ai
Spend your lunch break learning, building, and creating something you’re actually excited about.
📰 Other Headlines
WASHINGTON WANTS IN: The Trump administration is reportedly weighing an equity stake in OpenAI that could seed a proposed public wealth fund.
OPUS 4.1 RETIRES: Anthropic told developers that Claude Opus 4.1 will shut off on its API August 5, steering teams toward Opus 4.8.
META PITCHES TENTS: Meta is housing AI chips in tent-like structures near New Albany, Ohio, running them on 200 megawatts of gas turbines to halve build time.
RAMP HITS $44B: Spend platform Ramp raised $750 million from ICONIQ, GIC, and Ontario Teachers, nearly tripling its valuation in a year.
RETURNS DEFENDED: Ahead of Anthropic's IPO, president Daniela Amodei waved off doubts about whether AI spending pays back, pointing to a roughly $47 billion revenue run rate.
AGENT CLEARS APPLE: A consumer assistant called Poke became the first AI agent approved on Apple's Messages for Business after a two-month review.
ROBOTS COME HOME: Hello Robot started shipping a $30,000 home robot, a bet on consumer robotics most of Silicon Valley still calls early.
LABS WARN ON DNA: The heads of OpenAI, Anthropic, Google DeepMind, and Microsoft jointly asked Congress to require screening at synthetic-DNA suppliers before AI makes bioweapons easier to design.

Your breakdown of what’s happening in AI this week, from Noah Frank ⚡️
💭 When AI Builds Itself: Is It Really RSI?
On June 4, 2026, Anthropic published When AI Builds Itself, arguing that AI is already accelerating its own development and that the trend points toward recursive self-improvement, the point at which systems autonomously design and train their own successors. Anthropic engineers now ship 8× as much code per quarter as they did from 2021 through 2025, and Claude authors more than 80% of the code merged into the company's codebase, up from low single digits before Claude Code launched in February 2025. The company argues that a global ability to slow or pause frontier development would likely be good for the world, and that it would pause its own work if rival labs verifiably did the same. On whether models will build their successors, the post in reality commits very little.
AI systems themselves become capable of full recursive self-improvement, and begin building their successors. If technical trends in advancing capabilities continue, and AI systems are able to develop the capabilities inherent to transformative human ingenuity, then it is plausible that AI systems could design and refine themselves.
The post arrived three days after Anthropic filed a confidential S-1 with the SEC on June 1, days after a $65 billion round set the company's valuation at $965 billion.
Researchers care about that sentence more than any revenue figure because recursive self-improvement is the mechanism behind the intelligence explosion that British mathematician I.J. Good described in 1965, in which a machine smart enough to build a smarter machine triggers a feedback loop that compounds toward superintelligence. A self-improving system that cleared the threshold could condense a decade of progress into a year, a takeoff fast enough that institutions would have no window to react.
Yoshua Bengio, Geoffrey Hinton, and Ilya Sutskever, the three most-cited researchers in the field, have all called that scenario credible, and it is chiefly their belief that is the foundation the capital sits on. The trillion-dollar valuations attached to Anthropic, OpenAI, and their peers are not underwritten by chatbot subscriptions but by the possibility that one of these labs lights the fuse first.
The evidence in the post needs to be exact for that bet to hold, and Anthropic concedes the central weakness itself. Lines of code measures quantity over quality, the company writes, so the 8× figure overstates the true productivity gain. Plus, Claude Code itself was built with Claude from the beginning, and these labs employ the most aggressive engineering talent on the market, so an unknown share of the acceleration is the most heavily resourced engineering organization in history getting better at using its own product rather than a clean leap in capability.
The external evidence carries a similar crack. Anthropic leans on METR's time-horizon metric, which measures the length of task a model can complete reliably and reports it doubling roughly every four months, but METR warns that its estimates above 16 hours are unreliable because the task suite is saturating, and the metric can swing on a handful of tasks at the high end, exactly where the steepest part of the projected curve lives. If the acceleration is anything short of the clean exponential the post implies, the distance between what is verifiably true and claimed is where skeptics will double down.
And by all accounts, the critics make some interesting arguments.
Bill Gurley of Benchmark fame, who said he spent a month reading everything Anthropic publishes, concluded that the company is not building software but "midwifing a deity," a Dr. Frankenstein impulse he finds more frightening than the familiar charge that Anthropic's safety advocacy is a strategy to lock out competitors. The deity framing is overcooked, but the structural reading beneath it has independent support.
Meanwhile, technology analyst Rob Enderle argued that the productivity gains are probably legitimate while promoting progress toward recursive self-improvement is a calculated move, one that positions Anthropic to investors as the bleeding edge and seeds the narrative that its technology is so advanced it requires ever-larger funding to manage safely.
Scientific American reduced the contradiction to a single observation, that Anthropic has called for the brakes in a race where it remains a front-runner. A pause that no rival has agreed to costs the company nothing, signals everything, and went out the same week as a near-trillion-dollar filing.
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🧑💻 About the Editors

About Noah Frank
Noah is a researcher, innovation strategist, and ex-founder thinking and writing about the future of AI and the workforce. His work and body of research explores the economics of emerging technology and organizational strategy. Outside of AIC, Noah heads research for Centaurian AI.

About Joy Dong
Joy is a news editor, writer, and entrepreneur at the intersection of AI and blockchain. Whether she is demystifying complex systems in her newsletter, TEA, or building streamlined solutions through her automation agency, Ownly, Joy’s mission is to make emerging tech accessible and actionable for everyone.

About Lindsay Gross
Lindsay is an AI engineer, researcher, and writer focused on how AI systems behave in practice and what it takes to make them safe. Her work sits at the intersection of AI safety, governance, and product design, and at AIC she writes about the questions that matter most as these systems scale.

