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China is having another AI moment

American leads in AI may be at their smallest in over a year. US corporations and Silicon Valley are increasingly adopting cheaper open-source models from China. New Chinese models suggest top American firms are only a few months ahead of their competitors.

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What changed

China is experiencing a new surge in AI momentum following the impact of DeepSeek and the release of GLM-5.2.

Live updates

  1. China Closes Artificial Intelligence Gap With US

    American leads in AI may be at their smallest in over a year. US corporations and Silicon Valley are increasingly adopting cheaper open-source models from China. New Chinese models suggest top American firms are only a few months ahead of their competitors.

    What's confirmed:

    • The release of DeepSeek r1 in January 2025 erased $1trn from American capital markets.
    • The Nasdaq sank by 3.1% in a single day following the DeepSeek r1 release.
    • Nvidia briefly lost 17% of its value after the DeepSeek r1 release.
    • Corporate America and Silicon Valley are using cheaper open-source AI models built in China.

    Still unconfirmed:

    • Strategic investments and innovations in AI will significantly shape the global technology landscape by 2035.
    confidence 80%