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Is the US-Iran standoff exposing deep fault lines in US intelligence coordination?
As tensions over intelligence sharing and priorities flare, the CIA has stopped participating in some intelligence assessments by the office of the nation’s top spy, including those on the Iran war, according to people familiar with the subject.
The CIA and the Office of the Director of National Intelligence (ODNI) have been fighting for more than a year, hindering cooperation on national security assessments that presidents long have used to guide them through complex foreign challenges, said a U.S. official and three people with direct knowledge of the matter.
The sources spoke on the condition of anonymity to discuss sensitive internal concerns.
At the heart of the disagreements is a clash over a task group established in April 2025 by Tulsi Gabbard, the director of national intelligence, the sources said.
Two of the sources said Gabbard’s Director’s Initiatives Group had acted irresponsibly in bypassing standard intelligence-sharing and declassification norms, a charge the CIA under Director John Ratcliffe has made. ODNI officials said CIA has repeatedly denied the organisation access to intelligence.
The intelligence agency cooperation breakdown is happening at a hazardous moment for the Trump administration, with the US in the Iran conflict and facing national security issues from Chinese military growth to Russia’s war on Ukraine.
It also shows that the reform measures implemented after the September 11, 2001, attacks that formed a director of national intelligence to coordinate the 18 US intelligence agencies have not stopped the dysfunction.The ODNI is “supposed to be the oil in the system that keeps the arteries of the intelligence community flowing, that removes blockages,” said Beth Sanner, a former deputy director of national intelligence in President Donald Trump’s first term.When you don’t do that, then you create the chance that agencies are just going to sort of pull back into their stove pipes and you set yourself up for intelligence failures.
Last week, Gabbard announced she would leave her role as Trump’s top spy on June 30 due to her husband’s sickness. Trump on Tuesday named Bill Pulte, chief of the Federal Housing Finance Agency, as interim director of national intelligence.
“The president and policymakers continue to get the best intelligence and analysis,” said Olivia Coleman, an ODNI spokeswoman, who added that ODNI and the agencies it oversees “communicate and collaborate daily with CIA counterparts across the full spectrum of intelligence products and operations.”
“The Director’s Initiatives Group operated within the oversight authorities of ODNI and in support of the president’s executive orders,” Coleman stated.
In February, Reuters reported that Gabbard had disbanded the group and relocated its staff to other parts of her department amid congressional examination of its actions.“Under Director Ratcliffe, the CIA was quick to move out on President Trump’s priorities with a more aggressive agency taking smart risks to outmanoeuvre our adversaries and give the United States a decisive advantage,” CIA Director of Public Affairs Liz Lyons said.
“Trump’s peace through strength foreign policy is a proven strategy that keeps America safe and deters global threats,” White House spokesperson Davis Ingle said, adding that media efforts to sow divisiveness at home would not succeed.“President Trump has the utmost confidence in his entire outstanding national security team,” Ingle added.
Less collaboration on intelligence assignments
One of the most serious effects of the organisations’ mutual distrust is the CIA’s move to cut back drastically on its inputs into assessments prepared by Gabbard’s office.
The CIA has been one of the key contributors to the reports published by the National Intelligence Council (NIC), the leading US intelligence analytical body. The reports matter, especially in a combat situation.
The agency no longer routinely engages in assessments about Iran, where the U.S. military has been fighting since February, two people familiar with the matter told Reuters.
The CIA and ODNI now function largely as two different analytical enterprises, the sources added.
At one point last year, the CIA halted releasing NIC findings on the internal intelligence community distribution programme it controls, the sources said, briefly limiting the accessibility of the analytical products in reaction to friction between the two agencies.
The findings were held back for just “a few hours” due to a “processing issue” a US official said.
The inter-agency conflict began shortly after Gabbard took her role in February 2025, the four people said.
One of her initial moves was to place stricter control over creation of the Presidential Daily Brief, insiders added. The CIA had long been the principal agency in creating the brief, a highly confidential daily compendium of intelligence reports prepared for the president.
“The relationship got even more sour with the formation of the Director’s Initiatives Group to “root out” alleged politicisation of the intelligence community, the sources said.
The group also worked to declassify records about the assassination of former President John F. Kennedy, and investigated the security of election voting machines and the origins of COVID-19.
Some critics, including former intelligence officers, have accused the group of being created as a weapon to get revenge on Trump’s perceived political enemies.
“At many occasions, task force members pressed the CIA for intelligence and resources needed to finish ODNI-assigned probes but felt they did not get enough, two people familiar with the situation said.
CIA officers dismissed
In May 2025 Gabbard fired two senior CIA operatives who ran the NIC.
The ODNI ousted the two “because they created a toxic work environment, as documented in a workforce survey, and because they had a history of politicising intelligence,” said an intelligence official who spoke on condition of anonymity to discuss internal government matters.
The official did not offer any evidence for the accusations.
Then in August, Gabbard withdrew 37 current and former officials of their security clearances, inadvertently exposing the identity of an undercover CIA officer overseas.
Gabbard accused the 37 of leaking and politicising intelligence, but provided no evidence.
“The move was in part retaliation for a 2017 intelligence assessment that Russia had waged an extensive influence operation to swing the 2016 presidential vote to Trump, former officials and others said.
The CIA-ODNI tensions burst into the open last month when a CIA official assigned to the Director’s Initiatives Group told a Senate hearing the agency had barred the group’s access to intelligence on the origins of COVID-19.
That argument has led to an investigation by the intelligence community inspector general’s office, an independent watchdog at ODNI, according to two people familiar with the matter.People familiar with the situation say the CIA has ceased participation in several intelligence assessments, including those on the Iran conflict, generated by the office of the nation’s top spy amid disputes over intelligence-sharing and areas of responsibility.
The CIA and the Office of the Director of National Intelligence (ODNI) have been fighting for more than a year, hindering cooperation on national security assessments that presidents long have used to guide them through complex foreign challenges, said a U.S. official and three people with direct knowledge of the matter.
The sources spoke on the condition of anonymity to discuss sensitive internal concerns.
At the heart of the disagreements is a clash over a task group established in April 2025 by Tulsi Gabbard, the director of national intelligence, the sources said.
Two of the sources said Gabbard’s Director’s Initiatives Group had acted irresponsibly in bypassing standard intelligence-sharing and declassification norms, a charge the CIA under Director John Ratcliffe has made. ODNI officials said CIA has repeatedly denied the organisation access to intelligence.
The intelligence agency cooperation breakdown is happening at a hazardous moment for the Trump administration, with the US in the Iran conflict and facing national security issues from Chinese military growth to Russia’s war on Ukraine.
It also shows that the reform measures implemented after the September 11, 2001, attacks that formed a director of national intelligence to coordinate the 18 US intelligence agencies have not stopped the dysfunction.The ODNI is “supposed to be the oil in the system that keeps the arteries of the intelligence community flowing, that removes blockages,” said Beth Sanner, a former deputy director of national intelligence in President Donald Trump’s first term.When you don’t do that, then you create the chance that agencies are just going to sort of pull back into their stove pipes and you set yourself up for intelligence failures.
Last week, Gabbard announced she would leave her role as Trump’s top spy on June 30 due to her husband’s sickness. Trump on Tuesday named Bill Pulte, chief of the Federal Housing Finance Agency, as interim director of national intelligence.
“The president and policymakers continue to get the best intelligence and analysis,” said Olivia Coleman, an ODNI spokeswoman, who added that ODNI and the agencies it oversees “communicate and collaborate daily with CIA counterparts across the full spectrum of intelligence products and operations.”
“The Director’s Initiatives Group operated within the oversight authorities of ODNI and in support of the president’s executive orders,” Coleman stated.
In February, Reuters reported that Gabbard had disbanded the group and relocated its staff to other parts of her department amid congressional examination of its actions.“Under Director Ratcliffe, the CIA was quick to move out on President Trump’s priorities with a more aggressive agency taking smart risks to outmanoeuvre our adversaries and give the United States a decisive advantage,” CIA Director of Public Affairs Liz Lyons said.
“Trump’s peace through strength foreign policy is a proven strategy that keeps America safe and deters global threats,” White House spokesperson Davis Ingle said, adding that media efforts to sow divisiveness at home would not succeed.“President Trump has the utmost confidence in his entire outstanding national security team,” Ingle added.
Less collaboration on intelligence assignments
One of the most serious effects of the organisations’ mutual distrust is the CIA’s move to cut back drastically on its inputs into assessments prepared by Gabbard’s office.
The CIA has been one of the key contributors to the reports published by the National Intelligence Council (NIC), the leading US intelligence analytical body. The reports matter, especially in a combat situation.
The agency no longer routinely engages in assessments about Iran, where the U.S. military has been fighting since February, two people familiar with the matter told Reuters.
The CIA and ODNI now function largely as two different analytical enterprises, the sources added.
At one point last year, the CIA halted releasing NIC findings on the internal intelligence community distribution programme it controls, the sources said, briefly limiting the accessibility of the analytical products in reaction to friction between the two agencies.
The findings were held back for just “a few hours” due to a “processing issue” a US official said.
The inter-agency conflict began shortly after Gabbard took her role in February 2025, the four people said.
One of her initial moves was to place stricter control over creation of the Presidential Daily Brief, insiders added. The CIA had long been the principal agency in creating the brief, a highly confidential daily compendium of intelligence reports prepared for the president.
“The relationship got even more sour with the formation of the Director’s Initiatives Group to “root out” alleged politicisation of the intelligence community, the sources said.
The group also worked to declassify records about the assassination of former President John F. Kennedy, and investigated the security of election voting machines and the origins of COVID-19.
Some critics, including former intelligence officers, have accused the group of being created as a weapon to get revenge on Trump’s perceived political enemies.
“At many occasions, task force members pressed the CIA for intelligence and resources needed to finish ODNI-assigned probes but felt they did not get enough, two people familiar with the situation said.
CIA officers dismissed
In May 2025 Gabbard fired two senior CIA operatives who ran the NIC.
The ODNI ousted the two “because they created a toxic work environment, as documented in a workforce survey, and because they had a history of politicising intelligence,” said an intelligence official who spoke on condition of anonymity to discuss internal government matters.
The official did not offer any evidence for the accusations.
Then in August, Gabbard withdrew 37 current and former officials of their security clearances, inadvertently exposing the identity of an undercover CIA officer overseas.
Gabbard accused the 37 of leaking and politicising intelligence, but provided no evidence.
“The move was in part retaliation for a 2017 intelligence assessment that Russia had waged an extensive influence operation to swing the 2016 presidential vote to Trump, former officials and others said.
The CIA-ODNI tensions burst into the open last month when a CIA official assigned to the Director’s Initiatives Group told a Senate hearing the agency had barred the group’s access to intelligence on the origins of COVID-19.
That conflict has spurred an investigation by the intelligence community inspector general’s office, an independent watchdog at ODNI, said two people familiar with the probe.
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ByteDance in talks to buy Chinese AI chip maker Iluvatar CoreX
Chinese tech firm ByteDance is in talks to buy AI processors for inference work from Shanghai-based Iluvatar CoreX (9903.HK), and is also eyeing a similar deal with Baidu (9888.HK), two persons with knowledge of the subject said.
If an agreement is reached, Iluvatar CoreX would be ByteDance’s third major domestic GPU supplier after Huawei and Cambricon (688256.SS), the sources stated.
ByteDance, TikTok’s company, is also considering utilising Baidu’s (9888.HK) Kunlunxin chips, they said, declining to be named as the discussions are private. Tencent (0700.HK) is already a customer for Kunlunxin chips, one of the sources said.
ByteDance, Iluvatar CoreX, Baidu and Tencent did not respond to requests for comment.
The possible acquisitions reflect Chinese chipmakers’ efforts to build alternatives to foreign AI chips that are gaining pace as Beijing pushes the use of locally made chips to increase self-reliance amid U.S. export limits on sophisticated processors.
In April, Reuters reported that Chinese GPU and AI chip makers took about 41% of China’s AI accelerator server market last year, eating into Nvidia (NVDA.O)’s once-dominant position there in one of its most crucial overseas markets.
In the second half of this year, Chinese AI chips would be accessible in big quantities, while Nvidia’s market share in China has effectively gone to nothing, Tencent’s Chief Strategy Officer James Mitchell said in May.
The sources claimed Iluvatar CoreX, a top GPU startup in China, expects to sell at least 50,000 chips to ByteDance this year, with the most of them going to inference workloads as ByteDance adds customers to its flagship AI chatbot, Doubao.
Inference workloads are all about answering questions and they are different from AI model training that tends to use the most powerful CPUs.
Sources stated the terms of the possible deals are not final and could possibly alter.
BUSINESS MILESTONE
A partnership with ByteDance — one of China’s biggest digital businesses and a heavy spender on AI infrastructure — would mark a key commercial milestone for Iluvatar CoreX. The Shanghai-based company has largely supplied government procurement projects until now, said one of the sources.
Iluvatar CoreX, which debuted in Hong Kong in January, had sales of 1 billion yuan ($148 million) in 2025, almost 90% of which came from selling GPUs, as it benefited from increased demand for local AI gear.
Its Tiangai series chips are designed for AI training, and its Zhikai series is targeted at inference tasks, according to its website.
The research note said Huatai Securities estimated Iluvatar CoreX’s sales would reach 3.04 billion yuan ($449.8 million) this year, with total shipments soaring 139% to more than 100,000 chips. The average selling price for the Zhikai inference chips was 12,000 yuan, or around $1,775 each, said the trader.
Shares of Iluvatar Corex jumped 12% in Hong Kong after the Reuters report.
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Iran’s World Cup coach claims politics ‘affected’ but ignores ‘hype’
Iran coach Amir Ghalenoei said on Sunday political concerns and visa problems have hindered his side’s preparations for the World Cup but assured his players will not “pay attention to any of the hype”.
Iran have arrived at the tournament under the cloud of a nasty diplomatic spat, when the United States — at military odds with Iran for months — refused to give visas for several team support staff.
Their first match is against New Zealand in Los Angeles on Monday, the first time a World Cup host has hosted a country with which it is at war.
A small group of anti-regime protestors welcomed the Iran team bus, escorted by a police motorbike, at the training late Sunday.
Iranian diaspora members opposed to the conservative Iranian regime are planning far larger rallies outside the stadium and there have been concerns that the Iran squad could walk off the pitch if anti-government banners are shown.”We are here to play a terrific match, a contest of quality. “We don’t pay attention to any of the hype and anything that goes on around us,” Ghalenoei said in answer to a query from AFP at a press briefing.Of course, every team has its own challenges and in many countries numerous things are happening which have nothing to do with football.”
The coach claimed his players was merely in the World Cup to “represent the respectful people of Iran, be it the Iranians inside Iran or the Iranian diaspora”.“We are not political people… football is different from politics,” Ghalenoei stated.
The news conference came just an hour after the announcement of a peace accord between the US and Iran which brings to a “immediate and permanent” halt to military operations on all fronts.
The Iran team has sparked controversy, but it is far from the only political issue affecting the World Cup that the US is co-hosting with Mexico and Canada.
Many supporters including Somali referee Omar Artan were denied entry into the US for the World Cup.It’s not only Iran that has been affected, as you know,” stated star striker Mehdi Taremi.
“The tension surrounding the tournament… undermines that joy and undermines the message of FIFA or people, which is about football that brings about peace,” he said.“I have felt the tension since the first moment we came to this World Cup and whenever there is tension at any tournament, of course we do not have the same beautiful experience that we always talk about, about peace, joy for the people of every country.
Iran had intended to establish a training camp in the US, but decided at the last minute to switch to Tijuana in Mexico.
Ghalenoei said his team “didn’t have enough time to adjust… it will affect us, but God willing, I know that my players are very determined to do their utmost and show the highest quality”.“We were changed twice in our camp, first we were in the United States and then they transferred us to Mexico and of course that impacts us,” the coach stated.But Iranians are experts at turning adversity into opportunity.
Iran never has advanced past the first round of a World Cup. Belgium and Egypt are both in the same Group G.
Around 25 demonstrators outside the training session in Carson, near Los Angeles, chanted that the squad did not represent their people.“They are the terrorist regime in Iran,” said Satggin Jalali, 47, of Los Angeles.Some of us will be inside the stadium (tomorrow) We have several surprises for you.”“These guys are not for the Iranian people,” nodded Sourat Darabi, a 51-year-old doctor from Orange County.’We are here as the voice of the people of Iran because they don’t have a voice — (the government) cut the internet, and if they come out and protest, they kill them, they massacre.’
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US-Iran deal will pave road for permanent peace in region and beyond: Dar
Pakistan has warmly welcomed the deal reached between the United States and Iran, Deputy Prime Minister Ishaq Dar said on Monday.
“We look forward to the formal signing ceremony on 19 June in Geneva and remain confident that this positive development will pave the way for lasting peace, stability and shared prosperity for the region and beyond,” he wrote in a post on X.
“Today’s significant breakthrough is a testament to the power of sustained diplomacy and the shared determination of our allies to choose dialogue over confrontation,” he said on X.
It also sends a reassuring message to the international community and brings much needed trust and stability to global markets and the world economy, especially for poor countries most vulnerable to regional instability.
Pakistan remains actively engaged with all interested parties and constantly urged caution and constructive engagement in this regard, reiterating that dialogue and diplomacy remain the only viable options for the resolution of any concerns.
“We appreciate the confidence that leaders in both the United States and Iran have placed in Pakistan and appreciate their willingness to remain engaged in seeking a peaceful and negotiated resolution.”
“We also thank the support and sincere diplomatic efforts of our brotherly countries including Saudi Arabia, Qatar, Turkey, Egypt and others, as well as the United Nations and our international partners who remained closely engaged throughout this process and helped realise this important milestone,” the post read.
As negotiations on unresolved issues continue, Pakistan is ready to support every effort to consolidate this progress.
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