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Redacted element of a transcript
US Court of Appeals for DC Circuit
Classified

Here’s the transcript of the secret briefing that kicked off the TikTok law

Matt Phillips

It’s hard for Americans — or American politicians — to agree on much of anything these days.

But, following a classified briefing on the potential national security threat posed by TikTok on March 7, the House Energy and Commerce Committee voted unanimously to advance an incredibly contentious legislation that posed a threat to TikTok, one of the most popular forms of communication in the country. (Even after TikTok sent a urgent sounding push alert to its users' phones, directing them to call Congress and generating a flood of calls to Representatives.)

It was a remarkably rapid, unified and some might say courageous decision in a legislative body not known for such things.

The unanimous committee vote gave a jolt of momentum to the bill which passed the next week in a landslide vote by the full house. The Senate passed it the next month and President Biden signed it soon afterward.

Remarkably, we now have a transcript of that classified March 7 meeting that supercharged the journey of that bill into law.

Read the transcript here.

TikTok and its parent are fighting the law in court. And as part of that civil litigation, the government filed yesterday, a heavily redacted transcript of the briefing which was delivered, in part, by a representative of the Office of the Director of National Intelligence — identified only as Jonathan — and David Newman, a national security official at the Department of Justice, as well as others.

As you might imagine, the government has taken pains to efface any blockbuster revelations that might have been included in the classified testimony. Several pages are nothing more than large black rectangles. Elsewhere, there are merely tantalizing hints of what was said.

But in its court filing introducing the transcript, the government stressed that even providing this level of disclosure of a classified briefing is highly unusual. They argued, essentially, that the government was bending over backward to provide some transparency because of the stakes of the case.

“The government is unaware of any past circumstance in which classified testimony by the intelligence community at a classified hearing before Congress has been shared with a court for consideration in connection with civil litigation,” wrote Justice Department attorneys.

The disclosures — or lack of disclosure, depending on your perspective — reflect the unusual nature of the limited access to classified information in this case. Those limits pertain not only to the public, but also to TikTok and its attorneys which are not allowed to see the classified material either.

Unlike in a criminal case, where a defendant has some rights to see the classified evidence being presented against them, TikTok’s efforts to fight the ban is a civil matter, where it has no rights to see such classified material, says Alan Rozenshtein, an associate professor of Law at the University of Minnesota Law School and a senior editor at Lawfare, the national security law publication.

“The court is being asked to uphold this law on the basis of evidence that it cannot disclose to the litigants or to the public,” he said.

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Report: Anthropic cuts off xAI’s access to its models for coding

Competition between the top AI companies is fierce. Top employees are being poached, and companies are training their AI on competitors’ models to stay ahead of the pack.

Anthropic is taking steps to make sure it’s not helping the competition in any way. According to tech reporter Kylie Robison, this week Anthropic cut access to xAI developers who were using its Claude models for coding via the popular Cursor AI coding tool.

Robison reports that xAI cofounder Tony Wu told his team in an email:
“This is a both bad and good news. We will get a hit on productivity, but it rly pushes us to develop our own coding product / models.”

Robison reports that xAI cofounder Tony Wu told his team in an email:
“This is a both bad and good news. We will get a hit on productivity, but it rly pushes us to develop our own coding product / models.”

tech

xAI’s revenue is growing, but so are its staggering losses

Good news: xAI’s revenue nearly doubled to $107 million in the third quarter compared to the second.

Bad news: Its net losses grew to $1.46 billion in Q3, up from $1 billion in the first quarter, and more than 13x revenue, Bloomberg reports.

The company, which is currently worth north of $230 billion, is burning through staggering amounts of cash — nearly a billion dollars a month — in service of building data centers and developing what it calls “self-sufficient” AI that can one day power robots like Tesla’s Optimus. Meanwhile, its revenue still looks more like that of a midsize startup than a tech giant.

Despite receiving more yes than no votes, Tesla’s board didn’t approve a shareholder proposal to invest in xAI, leaving a more formal relationship between the companies unresolved, even as xAI continues to burn cash at a pace that will require steady access to outside capital.

Of course, Elon Musk’s AI company is already deeply financially intertwined with his EV company. In 2024, xAI spent nearly $200 million, largely on Tesla Megapack batteries — a figure that appears to have grown significantly in 2025.

The company, which is currently worth north of $230 billion, is burning through staggering amounts of cash — nearly a billion dollars a month — in service of building data centers and developing what it calls “self-sufficient” AI that can one day power robots like Tesla’s Optimus. Meanwhile, its revenue still looks more like that of a midsize startup than a tech giant.

Despite receiving more yes than no votes, Tesla’s board didn’t approve a shareholder proposal to invest in xAI, leaving a more formal relationship between the companies unresolved, even as xAI continues to burn cash at a pace that will require steady access to outside capital.

Of course, Elon Musk’s AI company is already deeply financially intertwined with his EV company. In 2024, xAI spent nearly $200 million, largely on Tesla Megapack batteries — a figure that appears to have grown significantly in 2025.

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Apple’s hardware chief is the front-runner to be the next CEO

The New York Times is the latest news organization to cite Apple sources who think the company’s hardware chief, John Ternus, will be the one to fill CEO Tim Cook’s shoes. Citing people close to Apple, the publication reports that Cook is “tired and would like to reduce his workload” and that 50-year-old Ternus is the most likely to take his place, as the company accelerates its succession planning.

The Times is in good company. Both the Financial Times and Bloomberg have previously said Ternus is the top pick to succeed Cook at the helm of the tech giant, and Ternus is currently enjoying the top spot on prediction markets. His market-implied odds of being the next CEO are currently above 60% on both Polymarket and Kalshi event contracts.

The Times is in good company. Both the Financial Times and Bloomberg have previously said Ternus is the top pick to succeed Cook at the helm of the tech giant, and Ternus is currently enjoying the top spot on prediction markets. His market-implied odds of being the next CEO are currently above 60% on both Polymarket and Kalshi event contracts.

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