🇨🇳 Technological Divergence: China Restricts Western AI
China is limiting the use of Western AI models and chips due to national security concerns. At the same time, American companies are switching to inexpensive Chinese models, such as DeepSeek.
🌍 Two isolated ecosystems are forming, leading to the fragmentation of the global AI market.
👤 Ultra-cheap Chinese models could provide an advantage to startups in the US.
Source 1: https://www.chinapulse.com/data-news/2026/06/12/the-great-ai-irony-china-cracks-down-on-western-models-while-us-companies-flock-to-deepseek/ Source 2: https://www.techradar.com/pro/the-great-ai-irony-china-cracks-down-on-western-models-while-us-companies-flock-to-deepseek