‘That’s a new kind of risk nobody had in their vendor assessment framework.’
Bengaluru: With Anthropic abruptly disabling Fable 5 and Mythos 5 for all customers to ensure compliance, this should serve as a wake-up call for every Indian IT firm, analysts said.
This is because all Indian IT services firms are fundamentally dependent on US-based AI firms, as they rely on partnerships with them. On June 12, Tata Consultancy Services (TCS) announced a partnership with Anthropic and said it will provide Claude to 50,000 of its own employees across 56 countries; build Claude-powered products for clients in financial services, healthcare, the public sector, and other regulated industries; and join the Claude Partner Network, “our network of consulting and services firms that help bring Claude to their enterprise clients.”
The US government, citing national security authorities, has issued an export control directive to suspend all access to Fable 5 and Mythos 5 by any foreign national, whether inside or outside the US, including foreign national Anthropic employees, the AI firm said last week.
In February of this year, Infosys announced a strategic collaboration with Anthropic to develop and deliver advanced enterprise AI solutions to companies across various industries, including telecommunications, financial services, manufacturing, and software development.
Ashish Tandon, Founder & CEO, Indusface, said, “A frontier AI capability that hundreds of millions of people relied on was revoked inside 90 minutes, breaking the assumption that underpinned two decades of digital globalisation: that the best technology, wherever built, stays available to anyone who pays for it. The single order matters less than the precedent it sets because it can happen again, to any model, at any time, for reasons never fully explained.”
He added that no company should treat a single foreign model as permanent infrastructure, and no nation should depend entirely on imported frontier capability, because that is asking permission to operate. Sovereign AI has stopped being a prestige project. It is becoming a digital resilience infrastructure.
In a significant move, HCLTech on Monday announced that it will invest $150 million as the lead strategic investor in the country’s full-stack sovereign AI company, Sarvam.