The industry spent July 14 telling GSA its AI clause is unworkable. They're right … and it doesn't matter. Governance is coming from three directions at once: the GSA clause, DoD's "CMMC for AI," and OMB's vendor reps. Deloitte says only a fifth of organizations can govern their AI agents. That gap is your opening.

Frontier AI just got a $1 price tag inside government. On July 7, Anthropic put Claude inside a FedRAMP High desktop for agencies; a16z raised $15B to rewire federal procurement itself. If your agency customer can buy the model for a dollar, what are they paying you for? This week's ARROW makes the case: stop selling the tool, sell the deployment.