The deployment of the new cloud-based system came after eight months of collaboration between HHS, the Federal Aviation Administration and the Defense Finance and Accounting Service.
Intelligence officials and industry are weighing how Claude Mythos Preview could reshape hacking and cyberdefense. The company has also briefed senior officials on the AI model it says has already uncovered thousands of cyber vulnerabilities.
By David DiMolfetta, Patrick Tucker and Alexandra Kelley
VA’s decision intelligence and automation activities would see a 10.9% increase over FY26 enacted levels, with the growth “driven primarily by the AI Infrastructure solution.”
This latest cyber assessment released during the war with Iran mirrors similar cyber intrusions made by an Iran-aligned group that targeted Pennsylvania water systems in late 2023.
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The scams, some of which were fueled by AI, can be especially effective because they exploit the built-in authority and urgency people associate with institutions.
Iranian forces were “humiliated” after recognizing they were deceived in the move that bought time for U.S. forces to rescue the weapons officer, CIA Director John Ratcliffe said.
“I think having this internal team will really help us transform our [AI] adoption across the organization,” Secret Service CIO and CAIO Chris Kraft said about the push to bring fresh tech talent into the agency.
This week’s proposals are focused on blocking adversaries from gaining access to critical U.S. technologies and manufacturing capabilities, as well as addressing the nation’s cyber workforce shortage.
Overall spending would increase thanks to a surge at the Pentagon and non-defense cuts were smaller than proposed last year, though dozens of programs and grants still face elimination.
Agencies like CISA, NIST and the IRS would see notable reductions in their budgets for next year, while programs at Energy and the VA would get additional financial support.
By Edward Graham, David DiMolfetta and Alexandra Kelley
The plan to restructure the Office of Intelligence and Analysis would require congressional approval and could reshape oversight of domestic intelligence-sharing.
The guidance would establish government rights to use artificial intelligence tools in “any lawful” context, a stipulation that has drawn concern from industry advocates.