Boeing is set to plead guilty in 737 MAX case

After a DoJ probe of the fatal 737 MAX crashes, Boeing looks set to pay another $243.6M fine

7/8/24 10:03AM

MAX fine

Boeing is set to plead guilty to misleading air safety regulators in the lead-up to the two fatal 737 MAX crashes, in which 346 people died, according to a court filing yesterday.

The plea deal includes a second $243.6 million criminal fine, as well as a financial commitment from the company to invest $455 million over the next 3 years to enhance its compliance and safety programs.

This latest proposed fine from the Department of Justice takes the total to the maximum allowed by law (if approved by a judge), but it falls well short of the ~$25 billion that families of the victims had been pushing for last month. It’s also a relatively trivial sum compared to Boeing’s size. When combined, the total fine is $487 million, roughly 0.6% of the company’s total sales last year, or the equivalent of 2.3 days’ worth of revenue.

Pleading guilty would make Boeing a felon, and a criminal record could pose problems for its military contracts, which last year totaled $22.8 billion with the Defense Department. This agreement also only relates to alleged failures preceding the fatal crashes and does not address more recent issues, such as the alarming door blowout on an Alaska Airlines flight earlier this year, which has contributed to a significant drop in Boeing's deliveries compared to its European rival, Airbus.

In an effort to gain better oversight of everything that goes into a Boeing plane, the company recently agreed to acquire Spirit AeroSystems, the supplier of its fuselage for the MAX.

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Saleah Blancaflor3/16/26

Prediction markets show a tight (and tightening) Illinois Democratic Senate primary

It’s primary election time in Illinois, and as voters in the state head to the polls on March 17, there are a few races to watch closely across both parties.

While polls show that Darren Bailey is leading in the Republican race for governor, the primary election for a rare seat in the Democratic Senate to replace Sen. Dick Durbin is proving to be a tight one.

At the top of the 10-candidate race are Raja Krishnamoorthi, Lt. Gov. Juliana Stratton, and Robin Kelly. Krishnamoorthi, a lawmaker from Chicago’s 8th Congressional District, was an early front-runner, received funding and support from several Congress members for the seat. Kelly, who represented the South Side’s 2nd Congressional District, has support from the Congressional Black Caucus and South Carolina Rep. Jim Clyburn. Meanwhile, Stratton has been endorsed by Gov. JB Pritzker, whose administration she used to work for, as well as Sen. Elizabeth Warren.

While polls suggested that Krishnamoorthi was favored to win, Stratton has seen a boost and late surge, though Krishnamoorthi still remains close behind. Capitol News Illinois reports that Illinois Future PAC, funded by Pritzker, has spent more than $10 million on ads elevating Stratton. Meanwhile, two PACs affiliated with the crypto industry have attempted to attack Stratton and promote Kelly. Indian American Impact, which endorsed Krishnamoorthi, reportedly employed similar tactics against Stratton.

Political insiders tell Capitol News Illinois the race could go either way, but they still expect Krishnamoorthi to come out on top. Prediction markets currently show that Stratton narrowly leading Krishnamoorthi.

(Event contracts are offered through Robinhood Derivatives, LLC — probabilities referenced or sourced from KalshiEx LLC or ForecastEx LLC.)

Jon Keegan

3/11/26

Group of retired senior military officers and Microsoft file briefs supporting Anthropic in lawsuit

Anthropic sues the US government

In response to the Pentagon’s unprecedented, punitive determination that Anthropic is a national security supply chain risk, the AI startup has sued the US government.

Jon Keegan3/9/26

J. Edward Moreno2/27/26

OpenAI is reportedly working with Pentagon to hash out guardrails amid Anthropic standoff over AI safety

OpenAI CEO Sam Altman said the company is working with the Pentagon to negotiate safety guardrails for AI models used in the battlefield, which comes as one of its top competitors, Anthropic, is at a standoff with the government.

According to a memo obtained by several media outlets, Altman told staff OpenAI believes “that AI should not be used for mass surveillance or autonomous lethal weapons, and that humans should remain in the loop for high-stakes automated decisions. These are our main red lines.”

Anthropic, the company behind the AI chatbot Claude, was one of several firms that received a $200 million contract from the Department of Defense for “agentic workflows.”

Since then, tensions between Anthropic and the Pentagon have reportedly risen as the startup insists on surveillance restrictions. The government’s attack on Venezuela last month that led to the capture of President Nicolás Maduro reportedly involved the use of Anthropic’s Claude AI models for planning, which caused the startup to push back on the alleged violation of its terms of use.

Anthropic has until 5:01 p.m. ET on Friday to reach a deal with the Pentagon, which has threatened consequences against the company if it doesn’t allow the government unrestricted use.

Altman’s comments come as the Financial Times reports that executives at Amazon, Google, and Microsoft are being pushed by workers to support Anthropic in its dispute with the Pentagon and adopt similar guardrails as the Claude company in any work they undertake with the US military.

Sam Altman says OpenAI shares Anthropic's red lines in Pentagon fight

Anthropic, the company behind the AI chatbot Claude, was one of several firms that received a $200 million contract from the Department of Defense for “agentic workflows.”

Anthropic has until 5:01 p.m. ET on Friday to reach a deal with the Pentagon, which has threatened consequences against the company if it doesn’t allow the government unrestricted use.

Jon Keegan2/23/26

Report: Anthropic CEO Amodei meeting with Hegseth at the Pentagon as tensions mount

Anthropic CEO Dario Amodei has been summoned to meet with Defense Secretary Pete Hegseth at the Pentagon on Tuesday, according to a report from Axios. Tensions are running high between the Trump administration and Anthropic, as the startup’s surveillance restrictions on the use of its AI are reportedly causing outrage within the Pentagon.

Last month’s attack on Venezuela that led to the capture of Maduro reportedly involved the use of Anthropic’s Claude AI models for planning, which caused the startup to push back on the alleged violation of its terms of use.

Per the report, the Pentagon is considering effectively blacklisting Anthropic’s AI from government work if it doesn’t capitulate to the administration’s terms.

Antagonizing the Trump administration could cause Anthropic to face potential regulatory hurdles as it races toward an IPO this year. The company recently hired former Microsoft CFO Chris Liddel to its board, who formerly served as deputy White House chief of staff in the first Trump administration.

Scoop: Hegseth to meet Anthropic CEO as Pentagon threatens banishment

Per the report, the Pentagon is considering effectively blacklisting Anthropic’s AI from government work if it doesn’t capitulate to the administration’s terms.

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