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What to know about Defense Protection Act and the Pentagon’s Anthropic ultimatum

What to know about Defense Protection Act and the Pentagon’s Anthropic ultimatum

By WYATTE GRANTHAM-PHILIPS, AP Business Writer

NEW YORK (AP) — Defense Secretary Pete Hegseth gave Anthropic an ultimatum this week: Open its artificial intelligence technology for unrestricted military use by Friday, or risk losing its government contract.

Defense officials in the Trump administration also warned they could designate Anthropic, which makes the AI chatbot Claude, as a supply chain risk — or invoke a Cold War-era law called the Defense Production Act to give the military more sweeping authority to use its products, even if the company doesn’t approve.

Some experts say that using the law this way would be unprecedented, and could bring future legal challenges. The government’s efforts to essentially force Anthropic’s hand also underscore a wider, contentious debate over AI’s role in national security.

FILE - Defense Secretary Pete Hegseth stands outside the Pentagon during a welcome ceremony for the Japanese defense minister at the Pentagon in Washington, Jan. 15, 2026. (AP Photo/Kevin Wolf, File)
FILE – Defense Secretary Pete Hegseth stands outside the Pentagon during a welcome ceremony for the Japanese defense minister at the Pentagon in Washington, Jan. 15, 2026. (AP Photo/Kevin Wolf, File)

Here’s what we know.

What is the Defense Production Act?

The Defense Production Act gives the federal government broad authority to direct private companies to meet the needs of national defense.

The act was signed by President Harry S. Truman in 1950, amid concerns about supplies and equipment during the Korean War. But over its now decades-long history, the law’s powers have been invoked not only in times of war but also for domestic emergency preparedness as well as recovery from terrorist attacks and natural disasters. read more

Ozempic, Wegovy list prices to be slashed by up to 50%

Ozempic, Wegovy list prices to be slashed by up to 50%

Weight loss drugmaker Novo Nordisk will cut the list prices of Ozempic and Wegovy by up to 50% beginning in 2027, the company announced this week.

Wegovy currently carries a list price of $1,349 per month, while Ozempic is listed at $1,028 for a one-month supply. Both drugs will be listed at $675 per month beginning on Jan. 1, 2027, “representing reductions of approximately 50% and 35% for Wegovy and Ozempic, respectively,” according to Novo Nordisk.

The price cut will be designed to make Ozempic and Wegovy more affordable for people who receive the diabetes and obesity drugs through their health insurance, Novo Nordisk said.

Some insurance plans link coverage and out-of-pocket costs to the list price of medications. The upcoming price cuts will be the most helpful for “individuals with high-deductible health plans or co-insurance benefit designs,” said Jamey Millar, executive vice president of U.S. operations.

Novo Nordisk already announced Ozempic and Wegovy price cuts for some people last year, with the drugs now costing $349 per month for those paying full price without insurance. The drugs will also be cheaper for those on Medicare after the company cut a deal with President Trump’s administration. read more

How Florida property insurers keep secrets from policyholders — with the state’s help

How Florida property insurers keep secrets from policyholders — with the state’s help

Florida property insurers are keeping secrets.

Empowered by industry-friendly state statutes and court rulings, they’re blocking access to information about how their firms set premiums, handle claims, and shift profits out of the reach of regulators. They insist it wouldn’t be fair for their competitors to learn these critical “trade secrets.”

But Florida’s trade secrets shield also blocks homeowners from comparing insurance companies, and keeps information from policy holders that could bolster claim payouts for repairs.

And state regulators won’t step in to decide whether all this information really needs to be kept confidential. Instead, they force aggrieved information-seekers to fight it out with insurers and their well-compensated lawyers in court.

Jeremy Berman could tell you how well that goes. The Fort Myers Beach homeowner fought for two years to see records his insurer, Olympus Insurance Co., compiled before denying coverage of damage Berman says was caused by Hurricane Ian’s winds in September 2022. He lost, like every one of the dozens of individuals who have challenged Florida insurers’ trade secret designations, according to a South Florida Sun Sentinel review of 15 years of court records. read more

Disney: New drawing classes will feature Olaf animatronic

Disney: New drawing classes will feature Olaf animatronic

An animatronic version of Olaf, the carefree snowman from “Frozen,” will front a new drawing experience at the animation area inside Disney’s Hollywood Studios beginning this summer.

The theme park’s reimagined and renamed land will be known as the Walt Disney Studios, and that will include the Magic of Disney Animation building housing an Animation Academy experience called “Olaf Draws.”  The space will have animator desk-inspired workstations, and the Olaf figure will also be seated at one on stage, just as he was in the “Once Upon a Studio” short film released in 2023.

As it turns out, Olaf can’t draw, so prerecorded instructions from Disney animators will be presented to park guests in the experience.

“Olaf is learning with us,” Danny Handke, senior creative director with Walt Disney Imagineering, said in a Disney video posted on YouTube and on the official Disney Parks Blog.

Among the characters that will be sketched in the lineup of classes are Mickey Mouse, Minnie Mouse, Donald Duck, Genie, Moana, Stitch, Ursula, Judy Hopps, Nick Wilde and Olaf. The sessions are instructed by directors and animators from a range of Disney productions, from “Aladdin” to “Zootopia 2.” read more

Trump’s portrayal of ‘golden age’ is out of sync with how Americans see economy

Trump’s portrayal of ‘golden age’ is out of sync with how Americans see economy

By CHRISTOPHER RUGABER and PAUL WISEMAN, Associated Press Writers

WASHINGTON (AP) — President Donald Trump sought in his first State of the Union address to sell Americans on the idea of a booming economy, falling prices, and soaring jobs, yet he faces a skeptical public with a much gloomier view.

Barely 12 hours before his speech, in fact, The Conference Board, a business research group, released its latest consumer confidence report. It showed that overall confidence in the economy remains historically low, and is barely above the level it plunged to in the depths of the COVID recession.

In February, its index ticked up to 91.2, which is noticeably below a four-year peak reached in November 2024 of 112.8. Americans remain dejected by high prices and see few jobs available, the survey found.

Other polling has yielded similar results: Only 39% of Americans approve of Trump’s economic leadership, according to the latest Associated Press-NORC Center for Public Affairs Research survey. And the University of Michigan’s consumer sentiment survey remains mired at recessionary levels. read more