Silicon Valley’s hottest AI models face a powerful source of competition

As Anthropic and OpenAI rocketed to popularity based off of closely guarded artificial intelligence models, Chinese AI companies have made a different bet: They would make theirs open and free.

Over the past year, the strategy has grown more influential, especially in the wake of the U.S. government’s now-rescinded restrictions on flagship Anthropic model Fable. Burdened by rising AI costs, American tech companies have begun to shift to Chinese model families such as Alibaba’s Qwen, Z.ai’s GLM and Moonshot AI’s Kimi — a landmark adoption of Chinese software at enterprise scale in the United States.

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