Welcome back to Foreign Policy’s Situation Report, where our team has spent the last week taking turns falling sick. But don’t worry, we rallied so that we could bring you this week’s edition.
All right, here’s what’s on tap for the day: A Chinese AI conundrum in Washington, another potential Hormuz reopening, and the cost of Trump’s new battleships.
Here we go again.
No, we’re not talking about the latest U.S. attempt to reach a deal with Iran (though there’s more on that below). Instead, we’re talking about Washington’s latest freakout over China’s artificial intelligence capabilities.
Many people (us included) have spent years asking the question of which of the world’s two biggest economies is winning the AI race. The latest round of soul-searching has been sparked by a model named Kimi that was created by Chinese company Moonshot AI. The chatbot’s latest version, which released in July, showed capabilities that potentially rival the top U.S. models.
