China and the U.S. Are in a Race for AI Supremacy

What It Covers

The US and China compete for AI dominance in a new cold war, racing to develop advanced models while balancing innovation against safety concerns and technological restrictions.

Key Questions Answered

• •China's State Strategy: Beijing mobilizes local governments, subsidizes cloud computing infrastructure, and builds massive data centers in remote areas like Inner Mongolia to accelerate AI development through centralized coordination and renewable energy.
• •DeepSeek Breakthrough: Chinese startup DeepSeek built a large language model nearly matching OpenAI's capabilities using significantly less computing power and money, demonstrating China can engineer efficient chip and algorithm combinations despite US export restrictions.
• •Chip Workaround Tactics: Huawei plans to link up to one million lower-quality chips together in swarms to compete with advanced US processors, applying China's mass production capacity to overcome technological limitations from US export controls.