US claims Chinese AI firms are carrying out ‘industrial-scale’ theft of trade secrets
President Donald Trump has said that AI will be among the discussion topics when he hosts Chinese leader Xi Jinping in Washington, DC, later this month “The sheer scale of these campaigns and their sophistication indicate that distillation is not a supplement to these companies’ AI model development, but the critical core of it,” the new advisory says.
They singled out several Chinese tech firms, including DeepSeek and Alibaba Group, as having conducted “high-volume knowledge distillation campaigns” against US AI firms.
Distillation can be a legitimate research technique, but American officials and AI executives have long complained that the volume and targeted manner of Chinese distillation campaigns against US firms amount to stealing.
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