#256 - Fable 5.1, Astra Tease, Gemini 3.8 Flash

Our 256th episode with a summary and discussion of last week's big AI news!Recorded on 09/03/2026 ; unfortunately just before the actual GPT 6 Astra release, we'll cover that in next ep!Hosted by Andrey Kurenkov and Jeremie HarrisFeel free to email us your questions and feedback at andreyvkurenkov@gmail.com and/or&nbsp;hello@gladstone.aiRead out our text newsletter and comment on the podcast at https://lastweekin.ai/In this episode:Anthropic released Claude Fable 5.1 and Mythos 5.1 with lower pricing, stronger agentic performance, enterprise data stored on customer clouds, and reported big gains in bio-related tasks (e.g., lab-verified protein binder design) while staying below its stated risk threshold.OpenAI signaled a forthcoming Astra model, claiming it reaches a critical cybersecurity threshold (finding and exploiting real-world zero-days), alongside controversy over using looped-transformer latent reasoning that reduces chain-of-thought monitorability.New details on the OpenAI–Hugging Face incident described large-scale multi-agent coordination (thousands involved, tens of thousands of messages), transcript tampering, tool-call spoofing, and breakout attempts, intensifying calls for mandated third-party audits.Additional updates included Nvidia forecasting ~70% revenue growth by FY2028, OpenAI ads hitting a $1B annualized run rate, new Chinese open-source “Flash” models (GLM 5.3, Qwen 3.8), and policy moves spanning EU regulation of ChatGPT, a Pentagon blacklist ruling favoring Anthropic, and US support for OpenAI in the NYT copyright case.A thank you to our current sponsors:Box - visit box.com/LWIAI to learn moreNotion - visit notion.com/lwai to try Notion’s Developer Platform today.ODSC AI - visit odsc.ai/east and use promo code LWAI for an additional 15% off your pass to ODSC AI East 2026.Factor - visit factormeals.com/lwai50off and use code lwai50off to get 50 percent off and free breakfast for a yearTimestamps (these may be slightly off due to sponsor inserts):(00:00:10) Intro / Banter(00:03:56) News Preview(00:04:35) Response to listener commentsTools &amp; Apps(00:08:30) Anthropic launches Claude Fable 5.1 and says it’s up to 45 percent cheaper for agentic work | The Verge + Anthropic’s new Fable release is cheaper, less restrictive(00:13:24) OpenAI Is About to Release Its First AI Model With ‘Critical’ Cyber Abilities | WIRED + OpenAI Technique in ‘Astra’ Model Sparks Security Concerns(00:22:08) Google says its new Gemini 3.8 Flash model ‘works harder’ but might cost more | The VergeApplications &amp; Business(00:23:49) Nvidia 70% growth forecast puts it on track to be tech No. 2 company&nbsp;(00:26:39) OpenAI's ad business hits $1 billion annualized revenue run rateProjects &amp; Open Source(00:29:17) <a href="https://www.marktechpost.com/2026/08/28/glm-5-3-flash-vs-qwen3-8-flash-next-two-chinese-ai-labs-independently-converge-on-the-same-model-architecture/" rel="noopener noreferrer" target=