Bessent says U.S. could sanction China over AI model 'theft'
Summary
Chinese open-weight models are gaining steam against leading offerings from American companies like OpenAI and Anthropic.
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We must NOT let our companies use these Chinese models to save a few bucks. OpenAI and Anthropic are correct. This is vital national security. Please read Bing West's just released Cat 5. I respect the Chinese people greatly but these companies are run by the PLA for heaven's…
— Jim Cramer (@jimcramer) July 21, 2026
theres a reason none of the western companies have good open-weight models. all the good ones are chinese because the CCP subsidizes them
— Hosea (@hoseakidane_) July 20, 2026
cheap intelligence requires cheap hardware and thats not gonna happen with the supply constraints atm
OpenAI and Anthropic execs sounded the alarm about the rise of cheap AI, particularly from China, suggesting they will lead to a “dystopian” AI future and present unacceptable security risks if no regulation. WSJ
— zerohedge (@zerohedge) July 21, 2026
Translation: our $2 TN in contingent payments will not get paid
it's hard to quantify how much distillation improves the performance of Chinese models
— Lisan al Gaib (@scaling01) July 21, 2026
we can't really put a number like 20% on it, but we can compare Chinese labs with other companies that don't distill for legal reasons
Google for example has 10-100x more compute than Chinese… https://t.co/6TjCUfLYHi