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White House's New AI Review Framework Excludes Open Source Models

Axios reports that the Trump White House's new AI review framework only covers closed-source cutting-edge models and does not include open-source models in its review scope.

The framework will not be publicly released and will undergo a 30-day confidentiality test by multiple departments before its release, focusing on cybersecurity risks.

Buying interest is more inclined towards closed-source large models, computing power, and compliance review services, while selling pressure comes from the open-source camp and those hoping for policy transparency; event-driven funds will first bet on leading labs that can enter the government pre-review process.

Source: Public Information

ABAB AI Insight

This framework continues the Trump administration's consistent approach of "federal primacy, state-level contraction," and is in line with the previous unified framework for state AI laws: first defining what constitutes a "cutting-edge model" through federal review, then concentrating regulatory entry in the hands of a few agencies.

In terms of capital pathways, the inclusion of closed-source models in pre-review means companies like OpenAI, Anthropic, Google, and xAI are more likely to secure policy alignment, compliance endorsements, and government collaboration opportunities; while the exclusion of open-source models effectively locks risk assessment and distribution licenses within a few controllable entities, benefiting cloud, computing power, enterprise security, and model hosting services.

A comparable historical case is the pressure testing and bank licensing review in the financial industry: those who pass the review first gain capital and customer trust. The current AI industry seems to have entered a "licensed expansion" phase, where not all models can compete on the same stage, but rather, they must first meet thresholds before capturing the market.

Essentially, this represents a regulatory change, but the actual effect is a transfer of pricing power: policies redistribute "what can be used, who can release first, and who can receive government orders" back to leading closed-source enterprises; this occurs because the national security narrative shifts the assessment of model capabilities from a technical issue to an access issue.

ABAB News · Cognitive Law

  1. Rules must be established first for winners to qualify for entry.
  2. Regulation is not a brake, but a filter.
  3. Only those who obtain licenses first can gain pricing power.

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·ABAB News
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2 min read
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