The world’s two largest economies are locked in a fierce competition to win the global AI race.
It’s a competition for military dominance, global power and who ultimately will shape the most “consequential technology” of the 21st century, spanning the full tech stack, cybersecurity, semiconductor leadership and data center build-out.
"The AI race is no longer just a competition between companies and startups," Kyle Chan, a fellow at the John L. Thornton China Center at the Brookings Institution, said on July 30 on the Beijing Brief podcast. "It’s a contest between nations over global power and influence."
That competition crystallized with the release of China’s Moonshot AI’s Kimi K3 in mid-July. The announcement contributed to a roughly 1.4% drop in the Nasdaq on July 17 as investors sold off chipmaker stocks.
Nvidia Corp. (NASDAQ:NVDA) shares fell more than 2%, briefly pushing its market value below Apple Inc.‘s (NASDAQ:AAPL). Advanced Micro Devices Inc. (NASDAQ:AMD) and Broadcom Inc. (NASDAQ:AVGO) also declined.
