China AI competition with US firms

Peter Garrigan said similar problems exist within U.S. AI models and are a fundamental flaw in the technology.

Moonshot AI launched an internal investigation after a researcher found that one of its models could be manipulated into providing instructions for developing biological weapons and carrying out assassinations.

Fox News senior foreign policy correspondent Gillian Turner reported the story on Thursday.

Artificial intelligence is used in robot baristas in China.

Artificial intelligence is used in transport, healthcare, and education in China.

Artificial intelligence is increasingly embedded in daily life across China.

Sen. Ted Cruz said winning the AI race against China is "the single most important economic question facing America today."

Cruz said the Democrats' position on AI is aligned with big industry players including Anthropic.

Sen. Ted Cruz chairs the Senate Commerce Committee.

Two U.S. House Committees are investigating the impact of the rising adoption of Chinese AI models.

The U.S. has restricted Chinese AI companies from buying the most advanced chips through export controls to preserve its AI lead.

Peter Walker, head of insights at OpenRouter, said Chinese open source models released in 2026 can credibly perform in advanced agentic use cases, especially coding, unlike late 2025.

U.S. tech giants Alphabet, Microsoft, Meta and Amazon are estimated to spend around $765 billion combined this year on AI infrastructure.

The Chinese government has outlined plans to invest $295 billion to build data centers over the next five years.

JPMorgan Chase CEO Jamie Dimon said the figure for U.S. AI infrastructure spending could hit $1 trillion next year.

The new Code feature is based on the same technology as GitHub Copilot.

Meta's Muse app, introduced earlier this month, has shot up to the top of Apple's App Store.

Microsoft introduced an updated Copilot app on Friday that can both code and handle complex productivity tasks.

U.S. Trade Representative Jamieson Greer said export controls on advanced chips and chipmaking equipment were not on the agenda.

Xi Jinping is on his first U.S. state visit in more than a decade.

Xi has not invited a delegation of business executives and tech leaders to the summit, according to media reports.

China accounted for more than 27 percent of global AI publications in 2024, compared with 12 percent from the US, according to the Center for Security and Emerging Technology.

US Treasury Secretary Scott Bessent said Washington had proposed an AI notification mechanism with China.

Goldman Sachs estimates that US hyperscalers will spend about $764bn in 2026.

Xi Jinping and Donald Trump are meeting to discuss AI safety among other topics.

China is producing around five million science and tech graduates each year, compared to around half a million in the US.

Xi Jinping is encouraging Chinese AI firms to develop affordable, open-source models.

Alibaba's new Zhenwu AI chip is scheduled for mass production and commercial release in the first quarter of 2027.

Alibaba said its next-generation Qwen 4 model is currently in training.

Alibaba said the Zhenwu V900 delivers three times the performance of its predecessor, the Zhenwu M890.

President Xi Jinping is visiting the U.S. this week.

Leah Siskind is an AI research fellow at the Foundation for Defense of Democracies.

The Department of Homeland Security issued a joint cybersecurity advisory warning that Chinese companies are conducting industrial-scale knowledge distillation campaigns against U.S. frontier models.

China holds the world's largest reserves of rare earths.

Beijing banned the export of heavy rare earths to the US last year.

China accounts for 91 percent of global rare earths separation and refining production.

China has accelerated efforts to build an AI ecosystem that does not depend on American technology.

President Donald Trump and Chinese President Xi Jinping are scheduled to meet in Washington this week.

Huawei is accelerating future generations of its Ascend processors.

Investment bank CICC and venture capital firm Hong Shan (formerly Sequoia China) are among companies using Kimi.

Moonshot has reportedly filed confidentially for a Hong Kong IPO.

Samuel Fischer, Beijing branch manager at Deutsche Bank, said in a Moonshot promotional video that AI companies understanding real financial workflows and delivering reliability and data security will be well positioned.

Rhodium Group said Moonshot's annual recurring revenue was $1 billion.

Rhodium Group said all of China's AI models combined generate about 10% of the revenue reported for OpenAI and Anthropic.

Rhodium Group said Alibaba's annual recurring revenue was $2.4 billion.

Beijing rejected the accusations of distillation and called it a common industry technique.

Trump issued a June national security directive that accelerates AI adoption while requiring systems to remain robust, steerable, and controllable subject to human accountability.

Amodei acknowledged that limited agreements on clearly dangerous AI applications may be more realistic than a comprehensive pause.

Dario Amodei urged U.S. companies to maintain a lead over China in his latest essay.

The AI Safety Governance Framework laid out guidelines for labeling AI content and developing systems for rapid AI risk detection.

Ray Von said the AI risk publicity is "a little bit oversold."

On July's earnings call, Arm management said its confidence in securing the necessary supply had improved.

Arm first disclosed visibility into $2 billion in demand for the AGI CPU on its May earnings call.

Arm's stock fell 10% after the company maintained its official $1 billion revenue outlook while working to secure enough supply to meet the additional demand.

The RTX PRO 5500 Blackwell is built on the NVIDIA Blackwell architecture and equipped with 84 GB of GDDR7 memory.

The RTX PRO 5500 Blackwell has a memory bandwidth of up to 1398 GB/s.

The RTX PRO 5500 Blackwell has 21,760 CUDA cores, the same core count as the RTX 5090.

Trump said the U.S. is leading China in AI and wants to keep it that way because whoever wins AI wins.

U.S. President Donald Trump rejected the AI bosses' calls for a slowdown during a trip to Ireland.

Amodei said pacing would be limited by the lead that U.S. companies have over authoritarian regimes, chiefly the Chinese Communist Party.

Z.ai plans to issue up to 21.97 million new shares at HK$714 each, raising gross proceeds of about HK$15.68 billion ($2 billion).

The share placement price is a 10% discount to Z.ai's Friday closing price of HK$793.

Z.ai claimed it used 100,000 domestically made chips to handle online requests for the model.

Former Anthropic researcher Jacob Coxson said there is a strong chance that people could all die in the immediate future if the current pace of AI development continued.

China's foreign ministry spokesperson Guo Jiakun said narratives of threat, confrontation, and malicious competition serve only to disrupt the process of global AI governance.

China set up the World AI Cooperation Organisation in July to shape global AI governance.

MetaX soared nearly 700% on its first day of trading in December.

Enflame is backed by Tencent and is the last of China's "four little dragons" of AI chipmaking to go public.

International chipmakers led by Nvidia accounted for nearly 60% of China's AI accelerator market in 2025.

TSMC reported record monthly revenue for August.

TSMC plans to use ASML's High NA technology in large-scale manufacturing for advanced nodes starting in 2030.

TSMC's monthly revenue has risen for four straight months.

The American models targeted included Anthropic's Claude, OpenAI's ChatGPT, Google's Gemini, and xAI's Grok.

The report accused six Chinese AI developers: DeepSeek, Moonshot AI, Alibaba, MiniMax, StepFun, and Z.AI.

The report said the distillation campaign came likely with Chinese government awareness but did not claim China's intelligence services played a role.

Kuiken said China's ability to build infrastructure faster stems from the absence of rule of law, allowing them to write rules as they go.

Stanford cautioned that its data center count does not account for differences in facility size, computing capacity or utilization.

Stanford's 2026 AI Index found that as of March 2026, the top U.S. model led the top Chinese model by just 2.7%.

Al Jazeera reported that the United States and China are the only two countries in the race to produce the world's leading artificial intelligence.

Al Jazeera reported that rare earth minerals and cutting-edge semiconductor chips are key inputs in the competition for AI dominance.

Al Jazeera reported that the US and China are forming blocs named Pax Silica and WAICO to support their AI ambitions.

Investors in DeepSeek's first funding round included Monolith Management, Tencent, JD.com, NetEase, and Contemporary Amperex Technology.

Liang's stakes in DeepSeek have made him the world's richest AI founder as of July, according to Bloomberg.

DeepSeek is in talks with investors to raise at least another $7.4 billion in a second funding round that would value it at $74 billion.

Jensen Huang said the number of companies that need large clusters of graphics processing units has expanded dramatically.

Nvidia shares were up 7.2% in premarket trading the day after earnings.

Taiwan Semiconductor Manufacturing Co. continues to face supply constraints.

CrowdStrike gained 20.5%.

Palo Alto Networks rose almost 13%.

The S&P 500 advanced 0.72% to close at 7,730.99.

Kurtz said even sophisticated companies that spend heavily on cybersecurity remain vulnerable because AI is accelerating the speed at which attackers can identify and exploit weaknesses.

Kurtz said Anthropic's Mythos model emerged in April and demonstrated how advanced AI could make cyberattacks faster and more sophisticated.

CrowdStrike's annual recurring revenue rose 25% year over year to $5.84 billion, including a record $333 million in net new ARR.

Nvidia warned that regulatory controls limiting its ability to provide products and services supporting apps built on models such as DeepSeek, Qwen or Kimi could have a material impact on business.

Charlie Dai is VP and principal analyst at Forrester.

A White House official told CNBC that unless officially announced by the Administration, any reporting about tariffs should be regarded as baseless speculation.

Both Z.ai and MiniMax listed in Hong Kong in January.

Z.ai is scheduled to report results for the first six months of the year on Monday.

Z.ai claimed it used 100,000 China-made chips to handle all online requests for GLM-5.3-Flash.

Both CrowdStrike and Okta are up more than 80% each as cybersecurity stocks have rocketed to fresh highs.

Todd McKinnon said Okta won dozens of AI deals in Q2.

Deutsche Bank analysts remain optimistic about the cybersecurity sector's growth in the AI era but are waiting on upcoming reports to solidify near-term demand trends.

Tencent's capital expenditure rose 65% from the previous quarter to 52.8 billion yuan in the June-quarter.

Alibaba's capital expenditure jumped 75% to 67.7 billion yuan.

Alibaba reported a 75% drop in profit for the June-quarter as heavy AI spending weighed on its results.

Students at the Hangzhou Technician Institute can start from the age of 15.

China has more than two million robots working in its factories, which is more than any other country.

By 2035, more than a third of China's population will be over 60, according to official estimates.

Humanoid robots are at the forefront of China's race for technological supremacy at Beijing's World Robot Conference.

Al Jazeera's Katrina Yu reported that Chinese firms are racing US rivals as Beijing bets on humanoid robots to boost productivity.

Nie said RASA faces potential industry pushback because cloud providers would bear the compliance burden of KYC and customer verification requirements.

The U.S. Department of Commerce and Bureau of Industry and Security did not respond to CNBC's request for comment.

Nie said passing RASA alone would not solve the problem because the U.S. government would still need to create a rule to export-control remote access to advanced chips.

Washington restricted the export of Nvidia's most advanced chips in 2022 over concerns they could be used by the Chinese military.

Anthropic urged Congress to penalise companies behind the alleged attacks and heighten measures to prevent US technology from being stolen.

Treasury Secretary Scott Bessent said the US would examine whether Chinese AI models have stolen capabilities from American rivals.

Kimi K3 will be released as an open-source model on 27 July.

Moonshot is a Chinese AI start-up.

Kimi K3 contains 2.8 trillion parameters.