This just further points to the real issue at hand: the US Department of War (Defense) wants to be the arbiter in determining what 'lawful use' means. They don't want to be audited or policed. Which IMHO makes any mutual 'agreement' pretty much useless.
It also sounds like they are trying to clean up Altman's carefully crafted hedging. Because the chances of this NOT ending up in court are nil.
Hacker News