Artificial Intelligence

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Liz Wolfe | 8.17.2026 9:30 AM

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The AI arms race heats up: "The U.S. is preparing to ‌tell dozens of countries they must pick sides in the artificial intelligence race with China, warning they will be excluded from a U.S.-led AI coalition if they also sign up for Beijing's competing framework," reports Reuters. "Washington last year launched the Pax Silica initiative aimed at securing supply chains for AI models, semiconductors and critical minerals, amid a fierce technology rivalry with ​Beijing….By pressing ​countries to choose sides the U.S. hopes to starve China of resources in a race to make the most sophisticated AI, which could be used for military or economic dominance."

At the same time, the Trump administration appears to be set to financially benefit from the growth and sophistication of Chinese AI models. World Liberty Financial, a Trump family–backed crypto firm, offers tokens that are then used by WorldClaw, which Reuters calls "a Hong Kong–based venture offering artificial-intelligence models developed by Chinese companies." According to Reuters, "43 of the 90 models available through WorldClaw's website, or nearly half, were developed by Alibaba, Baidu, Z.ai and other Chinese technology companies the Trump administration says pose risks to national security and intellectual property."

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Chinese AI products are rapidly gaining popularity in the U.S.: Mozilla's chief technology officer "switched to Chinese AI startup Moonshot's Kimi K3 for many of his day-to-day activities within days of the new, powerful model's launch more than a week ago," reports the Associated Press. "Earlier, he had been using another high-performing Chinese model, Z.ai's GLM-5.2, for routine tasks such as managing his calendar,........

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