China’s AI Wildcard: The Next DeepSeek or a Locked-In Future?

DeepSeek, China’s open-source AI disruptor, has shattered expectations, proving that efficiency can trump brute-force compute. Now, the real question: can China replicate this success, or will geopolitical headwinds and restricted innovation hold it back?

China’s AI ambitions hinge on open ecosystems and rapid iteration. DeepSeek’s low-cost, high-performance model challenges the U.S. approach of building ever-larger AI clusters.

But for China to maintain momentum, it must balance state-driven funding with research transparency. Meanwhile, the U.S. scrambles and President Trump has already signaled tighter export restrictions, fearing another DeepSeek-style breakthrough.

China’s AI future will be defined by agility over isolation. Will it embrace an open innovation model, or will political tensions stifle its next great disruptor?

Read the full article on SMCP.

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