Trump's Policies Backfire, America Risks Decisive Defeat by China

China has won the race in AI technology development, thanks to a decision by Donald Trump’s administration regarding the output of US company Anthropic. The launch of Anthropic’s model, Mythos, was delayed due to export control directives. The US government later permitted the launch of the Mythos 5 model, although its Fable 5 has still not been released. However, this delay benefited China, as local companies had time to fill the gap left behind. One of them, GLM 5.2, is said to have performance equivalent to renowned US laboratories, including claims it can match the capabilities of Mythos. ‘Many smart people using AI say GLM-5.2 is the first Chinese AI model that can rival and beat public AI models from major American labs without compromise,’ said venture capitalist Marc Andreessen. ‘Perfect timing given the events happening now,’ he added. Researcher at Georgetown’s Center for Security and Emerging Technology, Sam Bresnick, said this development serves as a fairly good warning. ‘GLM 2.5 is almost on par with Anthropic as a corporate market competitor and at a quarter of the cost per token,’ said Jefferies strategist Christopher Wood, citing various industry sources. Trump’s former crypto and AI advisor, David Sacks, echoed similar sentiments, including that China’s capabilities have matched Anthropic in cybersecurity. He even added that the US has deviated from President Donald Trump’s strategy to win the AI race. ‘A year ago, President Trump declared America was in a global AI race and the way to win was to be pro-innovation, pro-infrastructure, pro-energy, and pro-export. President Trump was absolutely right, we have deviated from that strategy,’ he explained.