Does anyone else think this is all just FUD, smoke, mirrors and marketing hype? "Look, our model is so good that the government told us to stop" "Our model is so good that the government is going to control who has access to it".
Come on.
I think occam's razor can be applied here. And like everything else, its about money. I don't know exactly what the play will be here, but this doesn't sound like this technology is too powerful and more like billions of $ lost investments need to be made up somehow without the people getting annoyed about the government bailing these guys (AI companies, investors, etc.) out.