The Trump administration has accused Chinese entities of engaging in "industrial-scale campaigns" to extract capabilities from U.S. artificial intelligence (AI) models, according to a memo released by Michael Kratsios, the president's chief science and technology adviser.
Key Takeaways
The Trump administration has accused Chinese firms of engaging in industrial-scale campaigns to extract capabilities from U.S. AI models through a process called distillation. The White House plans to collaborate with U.S. AI companies to identify and punish such activities.
- White House memo accuses China-based entities of exploiting U.S. AI technology
- Administration will work with U.S. AI firms to build defenses and hold offenders accountable
- Chinese embassy denies allegations, emphasizing commitment to cooperation and intellectual property protection
- House bill proposes sanctions for foreign actors extracting key technical features from U.S. AI models
In the memo, Kratsios alleged that foreign actors, principally based in China, are using a process called "distillation" to copy AI technology developed by U.S. companies. The administration plans to work with American AI firms to identify such activities, build defenses, and explore measures to punish offenders.
The Chinese embassy in Washington denied the allegations, stating that China opposes "the unjustified suppression of Chinese companies by the U.S." and emphasized its commitment to promoting scientific and technological progress through cooperation and protecting intellectual property rights. The embassy spokesperson also noted that China's development is a result of its own dedication and effort as well as international cooperation.
According to multiple reports, leading AI companies like OpenAI and Anthropic have accused Chinese firms such as DeepSeek, Moonshot, and MiniMax of engaging in distillation campaigns to copy their models. The House Foreign Affairs Committee has also offered bipartisan support for a bill that would set up a process to identify foreign actors engaged in model extraction attacks and punish them with measures including sanctions.
How this summary was created
This summary synthesizes reporting from 3 independent publishers using AI. All sources are cited and linked below. NewsBalance is a news aggregator and media literacy tool, not a news publisher. AI-generated content may contain errors or inaccuracies — always verify important information with the original sources.