Microsoft limits employee use of Anthropic’s Claude Fable 5 over data retention concerns, The Verge reports

Microsoft limits employee use of Anthropic’s Claude Fable 5 over data retention concerns, The Verge reports

By Reuters
Publication Date: 2026-06-10 17:48:00

June 10 (Reuters) – Microsoft is limiting employees’ use of Anthropic’s Claude Fable 5 because of the AI startup’s ‌new data retention requirements, The Verge reported on Wednesday, ‌citing sources.

Anthropic on Tuesday said it is rolling out Claude Fable 5, a ​public version of its Mythos AI model, with guardrails barring its use in risky areas such as cybersecurity.

Claude Fable 5 is the most powerful model Anthropic has made available for wider use, with ‌the company citing its ⁠performance in software engineering and analytics.

Microsoft has told employees that its legal teams are evaluating changes ⁠to Anthropic’s data retention requirements, according to the report.

The concerns center on customer data and confidential information, and it is not yet ​clear whether ​Microsoft’s legal teams will clear ​Claude Fable 5 for internal ‌use, the report said.

Under Anthropic’s data retention policy for Mythos-class models, prompts submitted and…