SpaceX Set to Join Nasdaq 100, Paving Way for Wave of Passive Buying

 SpaceX Set to Join Nasdaq 100, Paving Way for Wave of Passive Buying

**Just 17 trading days after its record-shattering IPO, Elon Musk's rocket and AI giant is about to become a fixture in the world's most closely watched tech index—and the passive buying frenzy that follows could reshape the stock's trajectory.**

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## Introduction: The Fastest Entrance in Nasdaq History

On June 12, 2026, SpaceX made history with the largest initial public offering ever, raising $85.7 billion and debuting on the Nasdaq with a valuation of $2.1 trillion. Just 17 trading days later—on July 7, 2026—the company will join the elite ranks of the Nasdaq 100 index.

This is not just a symbolic achievement. It's a financial event that will force billions of dollars of passive money to buy SpaceX shares, whether fund managers believe in the stock or not.

**For American investors**, this is a moment worth understanding. Whether you're a retail trader, a 401(k) holder with exposure to index funds, or simply someone who watches the markets, the mechanics of index inclusion will affect you. Here's everything you need to know.

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## The Headline: What's Actually Happening

### The Date

SpaceX (ticker: SPCX) will be added to the Nasdaq 100 index **before the market opens on Tuesday, July 7, 2026**.

### The Reason: The "Fast-Track" Rule

Normally, a company must wait months or even years after its IPO to join a major index. But Nasdaq changed the rules. In May 2026, Nasdaq introduced a "fast-track" mechanism allowing eligible large IPOs to enter the Nasdaq 100 in as few as **15 trading days**. SpaceX, which listed on June 12, becomes eligible on July 7—exactly 17 trading days later.

Nasdaq, along with other index providers FTSE Russell and MSCI, has relaxed entry requirements including profitability, the number of days after a company goes public, and the number of shares available for trading.

### The Passive Buying Wave

When a company joins a major index, index-tracking funds—such as the **Invesco QQQ ETF**, which has roughly $280 billion in assets—must buy shares of the newly added company to replicate the index's performance.

JPMorgan estimates that SpaceX's inclusion in the Nasdaq 100 could draw **$4.3 billion in passive inflows**.

And that's just the Nasdaq 100. SpaceX is also being added to the **Russell U.S. equity indexes** after Friday's close of trading, which will force passively managed funds tracking those benchmarks to buy billions more. According to Stephens analyst Melissa Roberts, passively managed funds need to buy **over $4 billion** worth of SpaceX shares just to match the Russell indexes.

Combined, the Nasdaq 100 and Russell inclusions could drive **more than $8 billion** of forced buying in a matter of days.

---

## The Human Element: What This Means for You

### For the Everyday Investor

If you own an S&P 500 index fund, you won't see SpaceX in your portfolio just yet—S&P Global has said it will wait at least 12 months before considering SpaceX for the S&P 500.

But if you own **any fund that tracks the Nasdaq 100**—including popular ETFs like Invesco QQQ or QQQM—**you are about to become a SpaceX shareholder**, whether you intended to or not.

This is the beauty—and the quirk—of passive investing. Index funds don't pick winners; they simply buy whatever the index tells them to buy. And starting July 7, the index says "buy SpaceX."

### For the Active Trader

The forced buying from index funds creates a classic trading opportunity. When billions of dollars of passive money floods into a stock over a short period, it can create upward pressure on the price. Some traders will try to front-run this buying, purchasing shares in advance of the inclusion date and selling to the index funds at a premium.

But there's a catch. SpaceX has been on a **wild ride** since its IPO:

| Date | Price | Event |

|------|-------|-------|

| June 12 (IPO) | $135 | Pricing |

| June 12 (Open) | $150 | First trade |

| June 12 (Close) | $160.95 | +19.2% |

| June 16 (Intraday) | **$225.64** | **All-time high (+67%)** |

| June 26 (Close) | **$153.23** | Back near opening |

The stock has already experienced a 67% rally followed by a sharp pullback. The index inclusion could provide a catalyst, but it's not a guarantee of sustained gains.

### For the Skeptic

Not everyone is convinced SpaceX deserves its valuation. The company lost **$4.9 billion** last year. It trades at roughly **107 times its 2025 sales**—an astronomical multiple compared to Nvidia's 21 times sales.

Morningstar has placed a fair value of just **$62** on the stock, implying that the current price of around $153 is **overvalued by nearly 150%**. Michael Field, chief equity market strategist at Morningstar, put it bluntly: "We think the stock is overvalued".

**The human reality**: The market is pricing SpaceX not on its current profitability, but on its potential to dominate satellite internet, AI, and commercial space launch markets over the next decade. Whether that potential is worth $2 trillion is a question that investors will continue to debate.

---

## The Professional Perspective: Why This Matters

### The Nasdaq 100's Enormous Footprint

The Nasdaq 100 is tracked by **more than 200 investment products with over $800 billion in assets under management globally**. When a company joins this index, it's not just a ceremonial honor—it's a financial event that forces massive capital flows.

### The "Fast-Track" Precedent

SpaceX's rapid inclusion sets a precedent for other megacap IPOs. OpenAI and Anthropic are both expected to file for IPOs this year or next, targeting valuations of more than $1 trillion. If they follow SpaceX's trajectory, they too could join the Nasdaq 100 within weeks of going public.

Nasdaq's decision to relax entry requirements was explicitly designed to make U.S. listings more attractive. In a global competition for the world's most valuable companies, speed matters.

### The S&P 500 Holdout

There's one major index where SpaceX won't appear anytime soon: the **S&P 500**. S&P Global has said it will not change its inclusion criteria to accommodate megacap IPOs. To join the S&P 500, a company must be profitable in its most recent quarter and over the sum of its most recent four quarters. SpaceX, with its $4.9 billion loss last year, doesn't qualify.

This creates an interesting dynamic. SpaceX will be in the Nasdaq 100 but not the S&P 500—meaning it will be held by growth-oriented tech funds but not by the broadest U.S. equity benchmarks.

---

## The Creative Investor's Playbook: What to Watch

### The Front-Running Trade

With $4.3 billion in forced buying coming on July 7, some traders will try to buy SpaceX shares in advance and sell to the index funds. This front-running can create upward price pressure in the days leading up to inclusion.

But the Russell inclusion happens **after Friday's close**—meaning the forced buying for that index is already happening as you read this. In fact, traders exchanged about **$19 billion worth of SpaceX shares** on Friday, with almost half of that turnover in the final minutes of the session.

### The "Tracking Error" Effect

When index funds buy newly added stocks, they try to minimize "tracking error"—the difference between their performance and the index they track. This often means buying at the closing price on the inclusion date to match the index's pricing.

For SpaceX, this could create a **volume spike** on July 7 as funds scramble to get their allocations right.

### The Valuation Debate

The index inclusion doesn't change the fundamental question: **Is SpaceX worth $2 trillion?**

| Metric | SpaceX | Nvidia (for comparison) |

|--------|--------|------------------------|

| Price/Sales Ratio | ~107x | ~21x |

| Recent Profitability | $4.9B loss | Highly profitable |

| Market Cap | ~$2T | ~$3T |

Morningstar thinks the stock is worth $62. JPMorgan estimates $4.3 billion in passive inflows will come regardless. The market will ultimately decide which view is correct.

### The Lock-Up Expiration

One risk that looms over SpaceX: the expiration of **lock-up agreements**. Only about $100 billion of SpaceX shares are currently listed for trading, with the rest owned by Musk, other insiders, and employees. When lock-ups expire, a flood of new shares could hit the market, potentially weighing on the price.

---

## Frequently Asked Questions

### Q: When will SpaceX join the Nasdaq 100?

A: SpaceX will be added to the Nasdaq 100 **before the market opens on Tuesday, July 7, 2026**.

### Q: How much passive buying will this trigger?

A: JPMorgan estimates that SpaceX's inclusion in the Nasdaq 100 could draw **$4.3 billion in passive inflows**. The Russell inclusion will drive billions more.

### Q: Why is SpaceX joining so quickly after its IPO?

A: Nasdaq introduced a "fast-track" rule in May 2026 allowing eligible large IPOs to join the index in as few as 15 trading days. SpaceX listed on June 12 and joins on July 7—exactly 17 trading days later.

### Q: Will SpaceX join the S&P 500 too?

A: Not anytime soon. S&P Global has said it will wait at least 12 months before considering SpaceX for the S&P 500. To qualify, SpaceX needs to show profitability—and it lost $4.9 billion last year.

### Q: Is SpaceX profitable?

A: No. The company reported a net loss of **$4.9 billion** last year. It has swung between sharp losses and small profits over the past three years.

### Q: How has SpaceX stock performed since the IPO?

A: It's been a wild ride. The stock opened at $150 on June 12, hit an intraday high of $225.64 on June 16, and closed at $153.23 on June 26.

### Q: What ETFs will buy SpaceX shares?

A: Funds that track the Nasdaq 100, such as **Invesco's QQQ and QQQM**, will need to buy SpaceX shares. Funds that track Russell indexes, such as the **iShares Russell 1000 ETF**, will also add the stock.

### Q: Is SpaceX overvalued?

A: It depends on your perspective. Morningstar has placed a fair value of just $62 on the stock, implying significant overvaluation. The stock trades at roughly 107 times 2025 sales, compared to Nvidia's 21 times sales. However, bulls argue that SpaceX's potential in satellite internet, AI, and space launch justifies the premium.

### Q: What about the lock-up expiration?

A: Only about $100 billion of SpaceX shares are currently listed for trading. When lock-up agreements expire, insiders and employees may sell shares, potentially creating downward pressure on the price.

### Q: Will OpenAI and Anthropic also join the Nasdaq 100 quickly?

A: Possibly. Both companies are expected to file for IPOs this year or next, targeting valuations of more than $1 trillion. If they follow SpaceX's trajectory, they too could benefit from the fast-track rule.

---

## Conclusion: A New Era for SpaceX and the Nasdaq

July 7, 2026, will be a landmark date for SpaceX—and for the Nasdaq 100. In just 17 trading days, Elon Musk's rocket and AI giant will go from newly public company to a cornerstone of the world's most influential tech index.

Here's what we know for certain:

**The passive buying is coming.** $4.3 billion from the Nasdaq 100, billions more from the Russell indexes. Index funds have no choice but to buy.

**The stock is volatile.** From $225 to $153 in 10 days. The inclusion could provide a catalyst, but it's not a cure for volatility.

**The valuation is debated.** 107 times sales, a $4.9 billion loss, and a $62 fair value from Morningstar. Bulls and bears will continue to fight over this one.

**The precedent is set.** OpenAI, Anthropic, and other megacap IPOs will likely follow the same fast-track path. The rules of index inclusion have changed.

For American investors, the message is clear: **passive investing is not passive**. When you buy an index fund, you're buying whatever the index tells you to buy—and starting July 7, that includes SpaceX.

Whether that's a good thing or a bad thing depends on whether you believe in Elon Musk's vision of dominating satellite internet, AI, and space launch. The market has placed its bet. Now we wait to see if it pays off.

---

## Disclaimer

**IMPORTANT:** This article is for informational and educational purposes only and does not constitute financial, investment, or trading advice. The information contained herein is based on publicly available sources and reflects the author's understanding as of the publication date. Stock prices, index inclusions, and market conditions are subject to rapid change.

**Past performance is not indicative of future results.** All investments carry risk, including the potential loss of principal. You should consult with a qualified financial advisor before making any investment decisions.

**The views expressed in this article are those of the author and do not necessarily reflect the views of any organization.** The author may hold positions in securities discussed in this article. Nothing in this article should be construed as a recommendation to buy or sell any security.

**Index inclusions are determined by index providers and are subject to change.** The estimates of passive inflows are based on analyst projections and may not materialize as expected.

---

*Published: June 27, 2026*

**Tags:** SpaceX, Nasdaq 100, SPCX stock, index inclusion, passive investing, ETFs, Invesco QQQ, Russell indexes, SpaceX IPO, Elon Musk, stock market news, index funds, passive inflows, Nasdaq, stock market analysis, investment strategy, tech stocks, aerospace stocks, AI stocks, market volatility

These Are the Best Last-Minute Prime Day Deals You Can Still Get

 These Are the Best Last-Minute Prime Day Deals You Can Still Get

**The clock is ticking on Amazon's biggest sale of the year. Here's your final shopping guide to the deals that are actually worth your money—before they disappear forever.**

---

## Introduction: The Final Countdown

If you're reading this, you're either a procrastinator, a savvy shopper who knows the best deals come at the last minute, or someone who just realized Prime Day 2026 ends *tonight*. Whatever your reason, you're in the right place.

Amazon's annual Prime Day event, which began on June 23 and runs through **Friday, June 26 at 11:59 p.m. PT**, is one of the biggest shopping events of the year. In 2025, the four-day event helped drive **$24.1 billion in U.S. online spending** alone, according to Adobe Analytics. This year, with the event moved from July to June to coincide with the FIFA World Cup and the 250th anniversary of U.S. independence, the stakes—and the savings—are even higher.

But here's the thing about Prime Day: not all deals are created equal. Amazon is notorious for inflating original prices to make discounts look better than they really are. That's why we've sifted through thousands of deals across more than 35 categories to bring you the *actual* best last-minute Prime Day deals you can still get.

**Time is running out. Here's what you need to know.**

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## Prime Day 2026: The Big Picture

### When Does It End?

Prime Day 2026 ends **tonight, June 26, at 11:59 p.m. PT**. That means you have just hours left to complete those orders in your virtual cart.

### Do You Need to Be a Prime Member?

Yes. Prime Day deals are exclusively for Amazon Prime members. But if you're not already a member, Amazon offers a **free 30-day trial** that will allow you to access all the deals without committing to an annual or monthly membership (which costs $14.99 per month or $139 annually).

### What's Different This Year?

For the first time since 2021, Amazon moved Prime Day from July back to June. The company cited the FIFA World Cup (running June 11 to July 19) and the 250th anniversary of U.S. independence on July 4 as key factors in the decision. The four-day format introduced in 2025 has been retained, giving shoppers double the time to snag exclusive deals.

New this year: **Alexa AI features** are helping shoppers find personalized deals, set price alerts, and even auto-buy when prices hit a target. If you haven't used Alexa to shop Prime Day yet, you're missing out on a powerful tool that can save you both time and money.

---

## The Best Last-Minute Prime Day Deals by Category

We've scoured the deals from Amazon and its competitors—including Walmart, Best Buy, and Target—to bring you the best last-minute discounts across every major category.

### Electronics & Tech

If you're buying tech this year, Prime Day 2026 could be your best shot at savings. Manufacturers are passing on higher component costs to consumers, including rising memory-chip prices driven by AI-related demand. Simply put: **Prime Day is your best opportunity to save on tech before broader price increases take hold**.

**Top deals to grab now:**

- **Laptops, tablets, and gaming systems**: Up to 50% off

- **Headphones, cameras, and accessories**: Up to 70-75% off

- **Smartwatches and computer accessories**: Up to 80% off

- **Video games**: 60% off

**Specific highlights:**

- **Apple AirPods Pro 3**: 34% off list price

- **Google Pixel Watch 4**: 17% off

- **Apple AirTags**: Significant discounts

- **Kindle**: 21% off list price

- **Fire TV Stick**: 25% off—a plug-and-play way to turn any TV into a streaming device

- **Jackery Explorer 500 portable power station**: 40% off list price

- **Skullcandy headphones**: 50% off

- **Nintendo Switch controllers**: Up to 35% off

### Home & Kitchen

This is where some of the deepest discounts live. From robot vacuums to espresso machines, now's the time to upgrade your home.

**Top deals:**

- **iRobot Roomba Max 705 Robot Vacuum**: 45% off—the lowest price we've seen

- **Shark PowerDetect 2-in-1 Robot Vacuum & Mop**: Save $700 (58% off)

- **Shark Navigator Lift-Away Deluxe Vacuum**: Save $60 (30% off)

- **Bissell**: Up to 35% off select devices, including the beloved Little Green Portable Carpet Cleaner

- **Breville espresso machines**: Up to $250 off select premium models

- **Caraway cookware**: Discounts on non-stick ceramic sets

- **Frigidaire 5,000 BTU Window Air Conditioner**: 33% off

### Beauty & Wellness

Luxury beauty and wellness gear are seeing major markdowns.

**Top deals:**

- **NuFace**: Discounts on microcurrent devices

- **Renpho Thermacool 2 Massage Gun**: On sale

- **Beauty and grooming products**: At least 30% off

- **Wellness essentials**: Significant discounts across the category

### Fashion & Apparel

From Levi's to Adidas, fashion is seeing deep cuts.

**Top deals:**

- **Adidas**: Deals starting from $6

- **Levi's**: Significant discounts

- **Clothing**: Minimum 60% off

- **Footwear**: 50-80% off

- **Luggage and bags**: 50-80% off

- **Fashion accessories**: 40-70% off

### Amazon Devices

Prime Day is traditionally the best time to buy Amazon-branded products.

**What to grab:**

- **Echo smart speakers**: Deep discounts

- **Fire TV Sticks**: Major price drops

- **Kindle e-readers**: 21% off

- **Ring doorbells**: Significant savings

### Groceries & Everyday Essentials

This year, Amazon is placing special emphasis on groceries and everyday essentials to spotlight its free same-day delivery on orders over $25 in its recently expanded delivery zone.

**What to know:**

- Perishable items including bananas and ice cream are becoming a larger part of Prime members' shopping carts as Amazon expands same-day and next-day deliveries

- Grocery items are expected to make up a bigger proportion of Amazon deliveries in the future

- Stock up on World Cup and holiday celebration essentials

---

## The Competitor Sales You Shouldn't Ignore

If something sells out or the price isn't right at Amazon, competitors are running their own sales that end soon:

- **Best Buy's TechFest Sale**: Ends Sunday

- **Walmart's Deals & More sale**: Ends Sunday

These retailers are price-matching many Amazon deals, so it's worth checking before you click "buy."

---

## Pro Tips for Last-Minute Prime Day Shopping

### 1. Use Alexa to Your Advantage

This year, Alexa can provide personalized deal guides, build deal and price alerts for specific products, set up auto-buy when a price hits your target, and review a 365-day price history. If you haven't set this up yet, do it now.

### 2. Watch for "Today's Big Deals"

Exclusive "Today's Big Deals"—featuring five or more deals up to 50% off—drop three times daily at 12 a.m., 8 a.m., and 1 p.m. PDT. Additional deals go live every five minutes during peak hours.

### 3. Check Price History

Amazon is notorious for inflating original prices to make discounts look better. Use price-tracking tools or ask Alexa to show you the 365-day price history before you buy.

### 4. Don't Forget the Free Trial

If you're not a Prime member, sign up for the free 30-day trial to access all the deals. Just remember to cancel before it renews if you don't want to keep it.

### 5. Act Fast

Prices will go up when the clock strikes midnight. Some deals may extend after the event, but there's no guarantee which ones will last.

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## Frequently Asked Questions

### Q: When does Prime Day 2026 end?

A: Prime Day 2026 ends **tonight, June 26, at 11:59 p.m. PT**.

### Q: Do I need to be a Prime member to shop the deals?

A: Yes. Prime Day deals are exclusively for Amazon Prime members. However, Amazon offers a **free 30-day trial** that gives you full access.

### Q: Why did Amazon move Prime Day to June this year?

A: Amazon cited the FIFA World Cup (running June 11 to July 19) and the 250th anniversary of U.S. independence on July 4 as key factors in the decision.

### Q: What's new about Prime Day 2026?

A: New Alexa AI features help shoppers find personalized deals, set price alerts, and even auto-buy when prices hit a target. The four-day format introduced in 2025 has been retained.

### Q: Are there deals from other retailers too?

A: Yes. Best Buy's TechFest Sale and Walmart's Deals & More sale are running through Sunday. Many competitors are price-matching Amazon deals.

### Q: What are the best categories to shop?

A: Electronics (up to 80% off), home appliances (up to 65% off), fashion (up to 80% off), and Amazon devices are seeing the deepest discounts.

### Q: Will prices go back up after Prime Day ends?

A: Yes. Prices will generally go up when the event ends at midnight. While some deals may extend, there's no guarantee.

### Q: Can I use the free trial if I've used it before?

A: The free 30-day trial is typically available to new Prime members only. If you've used it before, you may not be eligible.

---

## Conclusion: Your Final Shopping Window

Prime Day 2026 has been a four-day marathon of deals, discounts, and doorbusters. But as the clock ticks down to midnight PT, your window to grab the year's best prices is closing fast.

Here's what we know for certain:

**The deals are real.** From Apple Watches at their lowest prices ever to robot vacuums with 58% off, the savings are substantial.

**The clock is ticking.** You have until 11:59 p.m. PT tonight.

**The competition is fierce.** If something sells out at Amazon, check Best Buy or Walmart—they're running sales through Sunday.

**The tech window is closing.** With memory-chip prices rising due to AI demand, this may be your best opportunity to save on tech before prices increase further.

Whether you're upgrading your home, refreshing your wardrobe, or finally buying that robot vacuum you've been eyeing all year, now is the time to act. Don't wait until tomorrow—the deals won't.

**Happy shopping, and may the savings be ever in your favor.**

---

## Disclaimer

**IMPORTANT:** This article is for informational purposes only and does not constitute financial or purchasing advice. Prices, availability, and discounts are subject to change without notice. We may earn a commission on purchases made through links in this article. All deals mentioned were accurate at the time of publication but may expire or sell out. Amazon Prime membership terms and the free trial offer are subject to Amazon's policies. Always verify prices and terms before making a purcha

**Tags:** Prime Day 2026, Amazon Prime Day deals, last-minute Prime Day deals, Prime Day electronics, Prime Day tech deals, Amazon sale June 2026, best Prime Day deals, Prime Day robot vacuum, Prime Day Apple deals, Prime Day home appliances, Amazon Prime membership, Prime Day shopping tips, Alexa Prime Day deals, Prime Day fashion, Prime Day beauty deals

OpenAI Releases Powerful New GPT-5.6 Model Under Restrictions

 OpenAI Releases Powerful New GPT-5.6 Model Under Restrictions

## The era of unrestricted AI is over. Here's what the government-approved preview of Sol, Terra, and Luna means for American businesses, developers, and the future of innovation.

### Introduction: The Most Powerful AI You Can't (Yet) Use

On June 26, 2026, OpenAI did something unprecedented. It unveiled its most advanced family of AI models to date—**GPT-5.6 Sol, Terra, and Luna**—and then immediately told the world that most of us couldn't use them.

Instead of a broad public launch, the company began a **tightly controlled preview** limited to a "small group of trusted partners" whose participation has been approved by the Trump administration. According to Axios, the initial preview includes **around 20 companies**.

This isn't just another product release. It's a watershed moment for the AI industry. For the first time, the U.S. government is actively gatekeeping access to the most advanced AI models developed on American soil. And OpenAI, despite its objections, is playing ball.

"We don't believe this kind of government access process should become the long-term default," OpenAI said in a statement. "It keeps the best tools from users, developers, enterprises, cyber defenders, and global partners who need them".

But for now, cooperation is the price of admission. Here's everything you need to know.

### The Models: Sol, Terra, and Luna

OpenAI is releasing three distinct versions of GPT-5.6, each designed for different use cases and budgets:

| Model | Purpose | Input Price (per 1M tokens) | Output Price (per 1M tokens) |

|-------|---------|---------------------------|----------------------------|

| **Sol** | Flagship, most powerful | $5.00 | $30.00 |

| **Terra** | Balanced, everyday work | $2.50 | $15.00 |

| **Luna** | Fast, affordable | $1.00 | $6.00 |

#### GPT-5.6 Sol: The Flagship

Sol is OpenAI's strongest model yet, designed for the most demanding workloads. It introduces a **"max" reasoning effort**, allowing the model to take more time to think deeply about complex problems. It also features an **"ultra" mode** that goes beyond a single agent by coordinating subagents to accelerate complex work.

On **Terminal-Bench 2.1**, which tests command-line workflows requiring planning, iteration, and tool coordination, Sol set a new state-of-the-art score of **88.8%** in standard mode and **91.9%** in Ultra mode, surpassing Anthropic's Claude Mythos 5 (88.0%).

Sol also delivers "substantial benefit for legitimate defensive work" in cybersecurity, according to OpenAI, while meaningfully constraining prohibited offensive use.

#### GPT-5.6 Terra: The Workhorse

Terra offers competitive performance with GPT-5.5 while being **2x cheaper**. It's designed for balanced reasoning and everyday tasks—the kind of work that most businesses need day in and day out.

#### GPT-5.6 Luna: The Speedster

Luna is optimized for speed and affordability, making it ideal for high-volume, everyday automation tasks. At $1 per million input tokens and $6 per million output tokens, it's OpenAI's lowest-cost model.

### The Restrictions: Why You Can't Access It Yet

The limited preview isn't OpenAI's choice—it's the result of a request from the Trump administration. Here's how we got here:

#### The Executive Order

On June 2, 2026, President Trump signed an executive order on AI oversight that established a framework for the federal government to vet the national security risks of the most advanced AI systems for up to 30 days before their public release. The order described participation by AI developers as voluntary, but the framework has not yet been fully developed.

#### The "In-Between" Period

OpenAI is positioning what's happening with GPT-5.6 as the result of being in an **"in-between period"** where the government has announced a plan to evaluate new model releases but has yet to detail how that process will work.

"We are taking this short-term step because we believe it is the strongest path to broader availability in the coming weeks, while we work with the Administration to develop the cyber Executive Order framework and a repeatable process for future model releases," OpenAI said.

#### The Anthropic Precedent

The move follows similar U.S. restrictions on Anthropic's powerful Fable 5 and Mythos 5 models. Just weeks ago, the administration ordered Anthropic to remove access for any foreign national to its most powerful public model, prompting the company to take the model down entirely. While Mythos has since returned for select users, Fable 5 remains unavailable to the broader public.

#### The Cybersecurity Concern

One of the big concerns around the latest models has been their significantly increased cybersecurity capabilities. Officials have grown increasingly concerned since Anthropic warned earlier this year that its Mythos model was adept at finding flaws in software in a way that could be weaponized by malicious hackers and threaten critical computer networks around the world.

OpenAI says it believes "GPT-5.6 Sol is better at helping people find and fix vulnerabilities than reliably carrying out end-to-end attacks" and that the model's capabilities don't reach the "critical" level outlined in its preparedness framework.

### The Human Element: What This Means for You

#### For American Businesses

If your company relies on cutting-edge AI, the rules have changed. The era of unrestricted access to frontier models is over—at least for now.

The initial preview is limited to approximately 20 companies approved by the government. OpenAI says it expects to expand access to more companies next week and aims for a broad release in the coming weeks. But the uncertainty is real. As Dean Ball, a former White House AI adviser, argues, the executive order has created a **"de facto involuntary licensing regime"** for frontier AI, leading to heavy-handed restrictions.

**The question every business leader should be asking**: Will my company be on the approved list? And what happens if we're not?

#### For Developers

If you're a developer who's been waiting to build with the latest and greatest AI, the wait just got longer. OpenAI's staggered release means that the most powerful tools are locked behind a new government approval process.

But there's some good news: the pricing is aggressive. Sol is priced at $5 per million input tokens and $30 per million output tokens—**much less than what Fable cost when it was still available** ($10 for input and $50 for output). Terra and Luna are even more affordable.

#### For Everyday Americans

You might not use GPT-5.6 directly, but the systems it powers—and the cybersecurity it helps protect—affect your daily life. The government's decision to restrict access was driven by genuine concern that powerful AI systems could be exploited by adversaries.

**The question for citizens**: Are you comfortable with the government making these decisions? Or do you worry that this is the first step toward a broader crackdown on AI innovation?

#### The Human Emotions Behind the Headlines

Behind the policy and the technology are real people making real decisions:

- **The AI researcher**: You've spent years building toward this moment. Your model is state-of-the-art. But instead of celebrating, you're navigating a regulatory minefield.

- **The government official**: You've seen what happened with social media—unchecked growth followed by a regulatory scramble. You're determined to get ahead of AI this time.

- **The business leader**: You've invested millions in AI infrastructure. Now you're waiting to see if you'll be one of the "approved" companies.

- **The developer**: You were planning to build your next product on GPT-5.6. Now you're watching the calendar, hoping the "coming weeks" don't turn into months.

### The Safety Stack: OpenAI's Most Robust Protections

OpenAI says it developed GPT-5.6 Sol, Terra, and Luna with its **"most robust safeguards to date"**. The company spent "multiple weeks finding weaknesses, pressure-testing our system, and hardening it against real-world attacks".

Key safety measures include:

- **Strengthened protections** for higher-risk activity, sensitive cyber requests, and repeated misuse

- **700,000 A100 GPU-equivalent hours** of automated safety testing

- **Extensive human red-teaming**

- **A rapid-response process** to reproduce, assess, prioritize, and remediate newly discovered jailbreaks

- **Configurations matched to each model's capabilities**

OpenAI also trained GPT-5.6 to refuse "prohibited cyber assistance," including attempts at jailbreaking the model.

The company's focus on jailbreak prevention likely stems from what happened to Anthropic. A couple of weeks ago, Anthropic suspended all access to its Mythos 5 and Fable 5 models after a directive from the government. Amazon and other companies had reportedly notified authorities that its models could be jailbroken and used for malicious purposes.

OpenAI's goal is clear: "make prohibited offensive activity more difficult, uncertain, and detectable without unnecessarily limiting beneficial uses".

### What's Next: The Road to Broad Availability

OpenAI says it plans to make GPT-5.6 Sol, Terra, and Luna **generally available in the coming weeks**. The company expects to expand access to more companies next week.

But the timeline is uncertain. OpenAI might need to stagger the release, and it did not anticipate severe restrictions, such as the government having to approve each customer and limiting it to around 20 partners at launch.

By August, as part of the Executive Order, the administration must establish a classified process to assess AI models' cyber capabilities and determine which qualify as "covered frontier models"—a designation for AI systems with advanced cyber capabilities.

**The big picture**: Washington is starting to treat the most advanced U.S.-developed AI models as products that need government review before they can be widely released. This is the new reality of AI.

### Frequently Asked Questions

**Q: What are the three GPT-5.6 models?**

A: OpenAI released a family of three models: **Sol** (flagship, for complex reasoning and agentic tasks), **Terra** (balanced, 2x cheaper than GPT-5.5), and **Luna** (fast, affordable for high-volume tasks).

**Q: Why is the GPT-5.6 release restricted?**

A: The Trump administration requested a limited release. The initial preview is limited to a "small group of trusted partners" approved by the government. OpenAI is cooperating while the government develops a framework for evaluating frontier AI models.

**Q: How many companies get initial access?**

A: Approximately **20 companies** are part of the initial preview. OpenAI expects to expand access to more companies next week and aims for a broad release in the coming weeks.

**Q: What is the pricing for GPT-5.6?**

A: Sol costs $5 per million input tokens and $30 per million output tokens. Terra costs $2.50 for input and $15 for output. Luna costs $1 for input and $6 for output.

**Q: How does GPT-5.6 Sol compare to competitors?**

A: On Terminal-Bench 2.1, Sol scored **88.8%** in standard mode and **91.9%** in Ultra mode, surpassing Anthropic's Claude Mythos 5 (88.0%) and Google's Gemini 3.1 Pro Preview (70.7%).

**Q: What is the "ultra" mode in GPT-5.6 Sol?**

A: It's a new feature that allows the model to deploy specialized "subagents" to divide up and complete complex, multi-step tasks—moving beyond simple chatbot responses to perform agentic, automated work.

**Q: Is this "AI regulation"?**

A: Not formal legislation, but it's the new reality of AI oversight. It stems from a June 2026 executive order that established a framework for the federal government to vet national security risks of the most advanced AI systems. While described as voluntary, the framework has created what experts call a "de facto involuntary licensing regime".

**Q: When will GPT-5.6 be widely available?**

A: OpenAI says it plans to make the models **"generally available in the coming weeks"**. The company expects to expand access to more companies next week. However, the timeline is uncertain and depends on continued government coordination.

**Q: What safety measures are in place?**

A: OpenAI implemented its "most robust safety stack to date," including strengthened protections for high-risk activity, 700,000 GPU hours of automated safety testing, extensive human red-teaming, and a rapid-response process for newly discovered jailbreaks.

**Q: What happens if the government finds issues during the preview?**

A: OpenAI says the government is aware of its plans to launch more broadly "barring any concerns in the additional testing period". If significant issues are identified, further restrictions could follow.

### Conclusion: The New Era of Regulated AI

June 26, 2026, will be remembered as the day the era of unrestricted AI ended in the United States.

OpenAI's release of GPT-5.6—under government-imposed restrictions—marks a fundamental shift in how the most powerful AI models will be developed, released, and governed. The Trump administration has made it clear: **frontier AI is now a matter of national security, and the government intends to be in the room when the decisions are made**.

Here's what we know for certain:

**The capability is extraordinary.** GPT-5.6 Sol sets new state-of-the-art benchmarks in coding, biology, and cybersecurity. The "ultra" mode that coordinates subagents represents a genuine leap forward in AI autonomy.

**The restrictions are real.** Only about 20 companies get initial access. OpenAI is complying with a government request that it clearly disagrees with.

**The precedent is set.** What happened to Anthropic—and now OpenAI—will happen to every frontier AI company. The government is building a framework, and it's not leaving.

**The debate is just beginning.** OpenAI has made its position clear: "We don't believe this kind of government access process should become the long-term default". But for now, cooperation is the only path forward.

For American businesses, developers, and citizens, the message is clear: **the rules of the AI game have changed**. The companies that adapt—by building relationships with regulators, investing in safety, and embracing transparency—will thrive. Those that resist may find themselves locked out of the most important technological revolution in history.

OpenAI's GPT-5.6 is here. But for most of us, the wait is just beginning.

### Disclaimer

**IMPORTANT:** This article is for informational and educational purposes only and does not constitute financial, investment, legal, or professional advice. The information contained herein is based on publicly available sources and reflects the author's understanding as of the publication date. AI regulations, government directives, and company policies are subject to rapid change.

**The views expressed in this article are those of the author and do not necessarily reflect the views of any organization.** Nothing in this article should be construed as a recommendation to buy or sell any security.

**All investments carry risk, including the potential loss of principal.** You should consult with a qualified financial advisor before making any investment decisions.

**This article contains forward-looking statements that involve risks and uncertainties.** Regulatory developments may differ from expectations. OpenAI's relationship with the government may change. The AI regulatory landscape may evolve.

---

*Published: June 27, 2026*

**Tags:** OpenAI GPT-5.6, AI regulation, Trump AI executive order, Sol Terra Luna, frontier AI models, AI cybersecurity, OpenAI restrictions, government AI oversight, GPT-5.6 pricing, AI model approval, ChatGPT, artificial intelligence, AI policy 2026, national security AI, AI safety

Saks Officially Emerges from Chapter 11 Bankruptcy with Less Debt and a New Name

 

Saks Officially Emerges from Chapter 11 Bankruptcy with Less Debt and a New Name

## The luxury retailer that owns Saks Fifth Avenue, Neiman Marcus, and Bergdorf Goodman has a fresh start—and a new identity to match

### Introduction: The End of a Tumultuous Chapter

On Friday, June 26, 2026, one of the most closely watched bankruptcy sagas in American retail finally reached its conclusion. Saks Global—the parent company of Saks Fifth Avenue, Neiman Marcus, and Bergdorf Goodman—officially emerged from Chapter 11 bankruptcy protection.

But this wasn't just a financial restructuring. The company emerged with **a new name, a dramatically lighter debt load, a smaller store footprint, and a laser-focused strategy to win back the affluent American shopper**.

The new entity is called **Exemplar Luxury Group (ELG)**. And its CEO, Geoffroy van Raemdonck, made one thing crystal clear: "Today is really a brand new day for the organization and a new day where these three iconic banners have the right funding, the right equity and a bright future ahead of them".

For American shoppers, luxury brands, and retail investors, this emergence marks a pivotal moment. After nearly five months in bankruptcy, the company that operates some of the most iconic names in American luxury retail is back—leaner, meaner, and with a singular focus on pampering the wealthy.

### The Human Element: What This Means for You

#### For the American Luxury Shopper

If you've ever strolled through the hallowed halls of Bergdorf Goodman on Fifth Avenue, shopped the legendary shoe department at Neiman Marcus, or experienced the magic of Saks during the holidays, this matters to you.

The company's new strategy is simple: **ditch everything that isn't luxury**. That means no more discount outlets dominating the portfolio. It means a renewed focus on white-glove service, personalized experiences, and the kind of shopping that makes you feel like royalty.

Van Raemdonck put it this way: the new name signifies the company's focus on having an **"exemplary shopping experience"** for customers—the best merchandise, better personalized service, and a treasure trove of customer data to make every interaction feel tailored.

#### For Employees

The company employs more than **1,500 sales associates who have each sold more than $1 million of goods**. These are the frontline warriors of American luxury retail. For them, the bankruptcy emergence represents job security—but also a new set of expectations. The company is betting big on their ability to deliver the high-touch service that online retailers simply cannot replicate.

#### For Luxury Brands

The relationship between Saks Global and its brand partners has been strained. The company's cash shortfalls led to delayed payments, strained relationships with critical vendors like Chanel, LVMH, and Kering, and a general sense of uncertainty. Now, van Raemdonck says his conversations with brand partners have shifted from reassurance to growth potential.

The company is developing **three-year business plans** with the majority of its 20 largest brand partners, encompassing category expansion, shop-in-shops, and exclusive product launches. Bergdorf Goodman recently expanded its Schiaparelli boutique, and more activations are planned as the retailer celebrates its 125th anniversary this year.

#### For Investors

The restructuring slashed debt by nearly 75%—from $3.4 billion to approximately **$850 million**. The company also secured $500 million in new financing. With a reconstituted board featuring representatives from Pentwater Capital Management and Bracebridge Capital, the company is positioning itself for long-term profitable growth.

But as any retail analyst will tell you, a clean balance sheet doesn't guarantee success. The company still has to prove that the luxury department store has a place in an industry where brands increasingly favor selling directly to consumers.

### The Backstory: How We Got Here

#### The Merger That Started It All

The seeds of this bankruptcy were planted in July 2024, when Saks Fifth Avenue's parent company orchestrated a $2.7 billion acquisition of its rival, Neiman Marcus. Real estate tycoon Richard Baker engineered the deal, bringing together two of the most iconic names in American luxury retail under one roof.

On paper, it made sense. Combine the buying power, streamline operations, and create a luxury powerhouse that could compete with the likes of Amazon and the growing direct-to-consumer brands. But in practice, the merger was a disaster.

#### The Perfect Storm

The acquisition saddled the company with **$3.4 billion in debt**. At the same time, luxury spending slowed. The company struggled with weak sales, piling up debt, and defaulting on vendor payments. The merger caused cash shortfalls and inventory issues at stores and strained relationships with critical vendors.

By early 2026, the situation was untenable. On January 14, 2026, Saks Global filed for Chapter 11 bankruptcy protection in one of the largest retail collapses since the pandemic.

#### The Chapter 11 Journey

Over the next five months, the company worked to restructure. It closed dozens of stores, cut corporate and store employees, and negotiated with creditors. In January, a U.S. bankruptcy judge granted initial approval for $400 million in rescue financing. By June 9, the company had gained approval for its Chapter 11 exit plan.

And on June 26, it officially emerged.

### The New Name: Why "Exemplar Luxury Group"?

The company's new corporate name—**Exemplar Luxury Group**—is more than just a rebrand. It's a signal of intent.

CEO Geoffroy van Raemdonck explained that the name reflects the company's goal of setting **"the standard of excellence"** in luxury retail. It's a nod to the company's high-end aspirations and a fresh start after five months entangled in bankruptcy proceedings.

**Importantly, the store names aren't changing**. You'll still shop at Saks Fifth Avenue, Neiman Marcus, and Bergdorf Goodman. Exemplar Luxury Group is the corporate parent—the entity that will unify the three retailers under a single identity while allowing each banner to maintain its distinct character.

As van Raemdonck put it: "Moving forward as Exemplar Luxury Group reflects the shared ideals that anchor each of our banners and our commitment to setting the standard of excellence for luxury retail across all three".

### The New Footprint: Fewer Stores, More Focus

The most visible change for consumers is the store footprint. Before the bankruptcy, the company operated:

| Store Type | Before Bankruptcy | After Bankruptcy |

|------------|-------------------|------------------|

| Saks Fifth Avenue | 33 | **15** |

| Neiman Marcus | 36 | **33** |

| Bergdorf Goodman | 1 | **1** |

| Saks Off 5th (outlet) | ~70 | **12** |

| **Total** | **~140** | **49** |

The company shuttered most of its Saks Off 5th discount stores as part of its restructuring. The new total is **49 stores**—15 Saks Fifth Avenue locations, 33 Neiman Marcus stores, and the flagship Bergdorf Goodman on Fifth Avenue.

This isn't just cost-cutting. It's a strategic retreat. The company is **ditching anything that isn't focused on high-end department store shopping**. The discount outlets are gone. The focus is squarely on the luxury customer.

### The Financial Picture: A Dramatic Turnaround

The numbers tell a story of dramatic financial restructuring:

| Metric | Before Bankruptcy | After Restructuring |

|--------|-------------------|---------------------|

| **Total Debt** | $3.4 billion | **~$850 million** |

| **Debt Reduction** | — | **~75%** |

| **New Financing** | — | **$500 million** |

The company has described its new balance sheet as having **"sufficient liquidity"** to pursue long-term profitable growth. With new ownership and a reconstituted board, ELG is positioned to resume investments in its stores, brand partnerships, and customer experience after months spent stabilizing its finances.

The reconstituted board includes two representatives each from investment firms **Pentwater Capital Management and Bracebridge Capital**, which partnered with Saks during the restructuring process.

### The Strategy: Pampering the Affluent

#### High-Touch Service

The company's post-bankruptcy strategy centers on one word: **service**.

Van Raemdonck told The Associated Press that the company's focus is on having an "exemplary shopping experience" for customers—the best merchandise, better personalized service, and a treasure trove of data on its customers.

The company employs more than 1,500 sales associates who have sold more than $1 million of goods each. These are the people who will deliver the white-glove service that online retailers simply cannot match.

#### Personalization and Data

In its next phase, ELG will focus on **personalization** in order to better serve the luxury consumer. The company has vast amounts of data on its customers—purchase history, preferences, browsing behavior—and plans to use it to create tailored experiences.

#### Exclusive Partnerships

The company is developing three-year business plans with the majority of its 20 largest brand partners, encompassing category expansion, shop-in-shops, and exclusive product launches and customer experiences.

Some of those partnerships are already beginning to take shape. Bergdorf Goodman recently expanded its Schiaparelli boutique, with additional brand activations planned as the retailer celebrates its 125th anniversary this year.

#### The "Thrill of Discovery"

The company's broader thesis is that the luxury department store still has a place in an industry where brands increasingly favor selling directly to consumers. Its strategy hinges on offering something brands cannot easily replicate on their own: **the thrill of discovery across multiple labels**, paired with exclusive launches, activations, and high-touch experiences that give shoppers a reason to keep coming back.

### The Challenges Ahead

#### Winning Back Brands

The bankruptcy took a toll on the company's relationships with luxury brands. The cash shortfalls led to delayed payments, and many brands—particularly independent and emerging designers—are still waiting for payments they aren't confident they'll ever receive.

Van Raemdonck says those problems are "now something of the past". But rebuilding trust will take time.

#### The Direct-to-Consumer Threat

Luxury brands are increasingly selling directly to consumers through their own websites and boutiques. The department store model is under pressure. ELG's strategy of offering "the thrill of discovery" and exclusive experiences is a bet that shoppers will still want a curated, multi-brand environment.

#### The Macroeconomic Environment

The U.S. economy is navigating uncertain waters. Inflation has ticked up. Interest rates remain elevated. The luxury consumer is wealthier and more resilient than the average shopper, but even the affluent can pull back when economic conditions are uncertain.

#### The "Exemplar" Promise

The new name sets a high bar. "Exemplar" means "a person or thing that serves as a typical example or excellent model." The company is promising to set the standard of excellence in luxury retail. Delivering on that promise will require flawless execution.

### What This Means for the Future of American Luxury Retail

The emergence of Exemplar Luxury Group is more than just a corporate restructuring. It's a test case for the future of luxury retail in America.

**The department store model is not dead**—but it is evolving. The companies that survive will be those that offer something that online shopping cannot replicate: personalized service, exclusive experiences, and the thrill of discovery.

ELG is betting that the luxury consumer still wants to walk into a beautiful store, be greeted by a knowledgeable sales associate, and discover something unexpected. It's betting that the $1-million-a-year sales associate is worth more than an algorithm.

The company's new name—Exemplar Luxury Group—is both an aspiration and a challenge. It signals where Saks wants to go from here: to pursue growth with a focus on high-touch service for the luxury consumer.

As van Raemdonck told BoF: "We have a very big role to play in the luxury ecosystem". Now it's time to prove it.

### Frequently Asked Questions

**Q: What is the new name for Saks Global?**

A: The company has been renamed **Exemplar Luxury Group (ELG)**. The store names—Saks Fifth Avenue, Neiman Marcus, and Bergdorf Goodman—remain unchanged.

**Q: When did Saks emerge from bankruptcy?**

A: Saks Global officially emerged from Chapter 11 bankruptcy on **Friday, June 26, 2026**.

**Q: How much debt was reduced?**

A: The company reduced its debt by **nearly 75%**, from $3.4 billion to approximately $850 million.

**Q: How many stores does the company have now?**

A: The company now operates **49 stores**—15 Saks Fifth Avenue locations, 33 Neiman Marcus stores, and 1 Bergdorf Goodman store. Most Saks Off 5th discount outlets were closed.

**Q: Who is the CEO of Exemplar Luxury Group?**

A: **Geoffroy van Raemdonck** is the CEO. He was appointed to the role when Saks filed for bankruptcy in January.

**Q: Will the store names change?**

A: No. The stores will continue to operate as **Saks Fifth Avenue, Neiman Marcus, and Bergdorf Goodman**. Exemplar Luxury Group is the corporate parent.

**Q: What is the company's new strategy?**

A: The company is focusing exclusively on **high-end luxury retail**, with an emphasis on personalized service, exclusive brand partnerships, and the "thrill of discovery" across multiple labels.

**Q: Why did Saks file for bankruptcy in the first place?**

A: The company was burdened by **$3.4 billion in debt** from its 2024 acquisition of Neiman Marcus, combined with weak luxury sales, cash shortfalls, and strained vendor relationships.

**Q: What happened to the Saks Off 5th discount stores?**

A: Most of the roughly 70 Saks Off 5th discount stores were closed. The company now operates only **12 outlet locations**.

**Q: What does the name "Exemplar" mean?**

A: "Exemplar" means a person or thing that serves as a typical example or excellent model. The name reflects the company's goal of setting the **"standard of excellence"** in luxury retail.

### Conclusion: A New Day for American Luxury

The emergence of Exemplar Luxury Group from Chapter 11 bankruptcy is a remarkable turnaround story. In just five months, the company went from one of the largest retail collapses since the pandemic to a leaner, more focused operation with a dramatically improved balance sheet.

Here's what we know for certain:

**The debt burden has been lifted.** A 75% debt reduction and $500 million in new financing give the company room to breathe.

**The strategy is clear.** Ditch the discount outlets. Focus exclusively on high-end luxury. Deliver white-glove service. Leverage data to personalize the experience.

**The brands are watching.** After months of strained relationships, the company is now working on three-year plans with its largest partners.

**The challenges remain.** The direct-to-consumer trend isn't going away. The macroeconomic environment is uncertain. And the company still has to prove that the luxury department store has a future.

But as van Raemdonck said, "Today is really a brand new day". For the three iconic banners—Saks Fifth Avenue, Neiman Marcus, and Bergdorf Goodman—that new day has finally arrived.

The question now is whether Exemplar Luxury Group can live up to its name.

### Disclaimer

**IMPORTANT:** This article is for informational and educational purposes only and does not constitute financial, investment, legal, or professional advice. The information contained herein is based on publicly available sources and reflects the author's understanding as of the publication date. Bankruptcy proceedings, corporate restructurings, and market conditions are subject to rapid change.

**Past performance is not indicative of future results.** All investments carry risk, including the potential loss of principal. You should consult with a qualified financial advisor before making any investment decisions.

**The views expressed in this article are those of the author and do not necessarily reflect the views of any organization.** Nothing in this article should be construed as a recommendation to buy or sell any security.

**This article contains forward-looking statements that involve risks and uncertainties.** Actual results may differ materially from those projected. The author undertakes no obligation to update or revise any forward-looking statements.

*Published: June 27, 2026*

**Tags:** Saks bankruptcy, Exemplar Luxury Group, Saks Fifth Avenue, Neiman Marcus, Bergdorf Goodman, Chapter 11 bankruptcy, luxury retail, retail restructuring, Saks Global, retail news, luxury department stores, retail industry, bankruptcy emergence, retail turnaround, American luxury retail, high-end shopping, retail strategy, store closures, retail debt restructuring, luxury brands