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VS Code Walks It Back, CAISI Signs Three Labs, and the Frontier Gap Compresses to Ten Weeks

Microsoft reverses the Co-Authored-by Copilot default it shipped last week, and that turns out to be one of three pieces of governance news today — alongside CAISI signing pre-deployment testing agreements with Google DeepMind, Microsoft, and xAI, and DeepMind's London staff voting 98% to unionize over military contracts. Then we go where the actual code lives: DeepSeek V4 Pro matching GPT-5.2 ten weeks later at one-seventeenth the price, a Qwen3.6 27B FP8 recipe that fits 200K tokens of unquantized KV cache on a single 48GB card, and a paper called AgentFloor that gives the…

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