Moonshot Kimi K3: 2.8T Parameters, Outperforms GPT-5.6

Moonshot AI's Kimi K3 model is making waves in the artificial intelligence world. This new open-weight AI model boasts an impressive 2.8 trillion parameters. What's interesting is that independent evaluations show Kimi K3 performing well against top US systems, even surpassing OpenAI’s GPT-5.6 on some tasks. It particularly shines in front-end coding. Moonshot AI has also announced competitive pricing for its API, at $3 per million input tokens and $15 per million output tokens. The model supports a large context window, meaning it can process very long documents. The company plans to fully open-source Kimi K3 by late July 2026. This means developers worldwide can use and modify it without licensing fees. This development is causing some concern among investors in US semiconductor stocks, raising questions about the return on large AI infrastructure investments.