The US-China AI pricing war is accelerating. Chinese labs are now competing on cost efficiency while building domestic chip stacks to reduce US dependency. The gap between frontier model prices East vs West is widening fast.
Here's the top AI news for today ๐งต
China drops two models at once: DeepSeek V4 and Kimi K2.6 both launched today. Kimi K2.6 undercuts Claude by 8x on price โ a direct shot at Anthropic's API business.
Microsoft, Google DeepMind, and xAI signed voluntary pre-deployment vetting deals with the US Commerce Dept (CAISI). Models will be reviewed for national security risks before public release. Microsoft also signed a similar deal with the UK's AI Security Institute.
โข Anthropic refused Pentagon's request for unrestricted model access and was designated a supply chain risk. A federal court declined to pause that designation.
โข Anthropic's Claude Mythos, capable of exploiting major OS and browser flaws, is driving White House cyber concerns.
โข Anthropic launched a $1.5B JV with Goldman, Blackstone, and H&F to embed Claude in mid-market companies. Apollo and General Atlantic also backing.
โข Trump admin is weighing a formal pre-release review process for AI models, a sharp reversal from its hands-off stance.
โข Connecticut signed a comprehensive AI bill covering frontier models, employment, and provenance. Colorado moving to repeal its AI Act.
โข China blocked Meta's $2B Manus acquisition.
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