Jordan Schneider and Kevin Xu on the AI Battle Between the US and China

There are several sources of tension right now between the US and China. Pure trade anxiety is a big one, with the US having imposed tariffs on Chinese electric vehicles, solar panels and other important industrial components. Then, of course, there are direct geopolitical concerns, with fears over a possible move by Beijing against Taiwan. And then there's artificial intelligence, which countries all around the world see as a crucial geopolitical asset, with the potential to transform economies and militaries if and when it reaches sufficient strength and power. And so, American-based labs are going toe-to-toe with Chinese ones, investing enormous sums of money to get ahead and stay ahead in this race. But what is this actually all about? What kind of advantage does America have in the AI race and can it be maintained? How might it change under another term of President Trump? On this episode, we speak with Jordan Schneider of the ChinaTalk newsletter and podcast, as well as Kevin Xu of the Interconnected newsletter, to discuss the state of play. This transcript has been lightly edited for clarity.

Key Insights from the pod:
Why do countries want national AI powerhouses? — 4:30
The data training Chinese LLMs — 9:26
How Chinese AI companies are raising money — 15:37
Robots and industrial applications for AI — 18:39
The impact of chip restrictions and export controls — 22:58
Making China more efficient or self-sufficient — 26:21
Open source in China — 34:43
Trump’s attitudes towards Chinese AI — 37:48
A China energy advantage in AI? — 41:39