this post was submitted on 27 Jan 2025
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China really has nothing to do with it, it could have been anyone. It's a reaction to realizing that GPT4-equivalent AI models are dramatically cheaper to train than previously thought.
It being China is a noteable detail because it really drives the nail in the coffin for NVIDIA, since China has been fenced off from having access to NVIDIA's most expensive AI GPUs that were thought to be required to pull this off.
It also makes the USA gov look extremely foolish to have made major foreign policy and relationship sacrifices in order to try to delay China by a few years, when it's January and China has already caught up, those sacrifices did not pay off, in fact they backfired and have benefited China and will allow them to accelerate while hurting USA tech/AI companies
Oh US has been doing this kind of thing for decades! This isn't new.