For instance, one regulation which really puts American AI companies at a disadvantage is IP law. It shouldn’t be a surprise that most of the best of the text-to-video models are Chinese.

Similarly, the legal grey area around model distillation gives Chinese labs a major advantage. This one I feel better about relaxing.

https://www.goodreads.com/quotes/7515521-william-roper-so-no...

There was this incident that seemingly flew under the radar (52 days ago): https://news.ycombinator.com/item?id=49216185

It's worth noting that the overwhelming majority of people who use Chinese models don't do this. Yes, it is nice to have the option, and there are US-based inference providers that claim to not send your data to China and maybe indeed don't, but in the grand scheme of things, we need to remember the adage that became popular during the social media era: if something is free (or, in this case, close to free), you are the product.