Chinese AI Models Gain US Traction: Cheaper, Smarter

Chinese AI models are gaining popularity in the U.S. due to their affordability and efficiency. Raffi Krikorian, CTO at Mozilla, switched to Moonshot’s Kimi K3 for daily tasks, finding it "snappier" than more expensive alternatives. He previously used Z.ai's GLM-5.2 for managing his calendar and email. U.S. companies like Coinbase are also adopting Chinese AI systems to reduce costs. This trend frustrates some U.S. tech giants. The U.S. has restrictions on China accessing advanced AI chips, and more sanctions could be coming to protect American intellectual property. The U.S. administration accuses Moonshot of using "covert" methods to build K3, a claim Beijing rejects. Experts say the latest AI models from Z.ai and Moonshot are nearly as intelligent as those from OpenAI and Anthropic. Alibaba and DeepSeek have also previewed advanced models. This matters because it shows a significant shift in the global AI landscape.