The Future: Made In China, Part 2 - AI
02 Feb 2025 Reading time: 2 minutes
See part 1 - which focuses on energy generation here: The Future: Made In China
Last week, a massive AI breakthrough came out of China that threw the stock market into a large downturn.
A Chinese AI startup, named DeepSeek - released an AI model that has comparable performance and sophistication as the state of the art American models.
What really caught the market and tech companies by surprise is that the amount of money they needed to create this was a fraction of the cost that the American companies needed to make theirs. While this seems hard to believe, it seems reasonable - especially considering the fact that older GPUs are all they have available to them due to export laws and the like.
The less money spent on GPUs and energy, the less revenue those companies earn; which is primarily why we saw the market hit hard. Of course, the stock market is the least important part of the story.
Being that a Chinese company essentially caught up to us with old GPUs - we must take this AI race more seriously. It’s the final battle - the last technology race that will happen. Whoever becomes the first to create scalable Artificial Super Intelligence (and has the energy to run it), will have the ability to control everything and everyone else forever.
I spoke about these points over and over in Part 5 of my Nationalize AI series - Nationalize AI - Part 5 - Superiority. I won’t go into more of the points I cover there, but definitely check it out as I think it is the best part of the series.
This is not the only major news that came out from China, as a Chinese satellite beat Startlink by 10x in terms of space-to-ground communication speed - at 100 Gbps. Incredible. While this substantially beats Starlink - it does not outperform NASA’s TBIRD system which hit 200 Gbps in 2023.
This will have massive benefits for China, they are catching up in many technologies.
It is critical that the USA triple down on these technologies with investment and moonshot initiatives, so we can continue to stay competitive and hopefully increase the speed of innovation.