Since the beginning of the AI revolution, a few companies have claimed to be building the best and most powerful AI models. All of them were American. More recently, a few Chinese companies seem to have caught up, shipping models that are much cheaper and maybe also just as good. The Verge's Hayden Field and Lauren Feiner join the show to explain how China made so much progress, the threat that progress represents to US companies and the US government, and what might happen next. We have new merch! Get yours here: https://bit.ly/3RCikCY 0:00 Intro 01:19 90 Seconds on The Verge 03:05 Is China Still Six Months Behind? 05:46 Distillation Explained 08:37 DeepSeek And Export Controls 12:20 What if China Wins? 18:15 The Patriotism Angle 23:27 Midterms And Messaging 28:52 Trump and the AI Industry 33:09 Wrap Up Subscribe: http://goo.gl/G5RXGs Like The Verge on Facebook: https://goo.gl/2P1aGc Follow on Twitter: https://goo.gl/XTWX61 Follow on Instagram: https://goo.gl/7ZeLv Watch The Vergecast on YouTube: https://bit.ly/40RFRkg The Vergecast Podcast: https://bit.ly/3WQDexZ Decoder with Nilay Patel: http://apple.co/3v29nDc More about our podcasts: https://www.theverge.com/podcasts Read More: http://www.theverge.com Community guidelines: http://bit.ly/2D0hlAv Wallpapers from The Verge: https://bit.ly/2xQXYJr Shop our Verge merch store here: https://bit.ly/4kPCmEc Subscribe to The Verge: https://bit.ly/3FT6n5S If you buy something from a Verge link, Vox Media may receive a commission without exerting any influence on editorial content. For more information about our ethics policy, visit: https://bit.ly/3ZWTlLs