Missile Strikes Disrupt AWS and Claude, Anthropic Banned from US Government, Cloudflare vs Vercel

This week in AI saw geopolitical turmoil, major funding news, and a shift in software development. Missile strikes in the UAE and Bahrain disrupted AWS and Claude services. Meanwhile, after Anthropic banned its models from autonomous weapons and mass surveillance, the Trump administration banned Anthropic from government contracts—posing a major supply chain risk. On the same day, Sam Altman secured a deal with the Department of War as OpenAI announced a $110 billion funding round, highlighting a sharp contrast in approaches.