The technology arms race with China has been lost on the AI front.
US AI has turned out to be worse than useless. Trillions have been wasted on a dud, a flop.
Claims by Gates and the heads of AI companies that they will be able to fully automate a huge share of human labor in ten years deflect from the fact that AI today cannot replace a ten year old when it comes to problem solving, it so weak, let alone actual real world work.
A tiny clique of billionaires so well known to the global public in 2025 have spent 100s of billions of dollar developing a sychopantic, sollipsistic, hallucinatory dud, for which there are no quick fixes.
https://www.ft.com/content/72aa8c32-1fb5-49b7-842c-0a8e4766ac84
"OpenAI says it’s implementing several fixes, including refining its core model training techniques and system prompts to explicitly steer GPT-4o away from sycophancy. (System prompts are the initial instructions that guide a model’s overarching behavior and tone in interactions.) The company is also building more safety guardrails to “increase [the model’s] honesty and transparency,” and continuing to expand its evaluations to “help identify issues beyond sycophancy,” it says," media report.
The self declared geniuses (Ayn Rand) did not succeed at what they wanted to because they lack the very thing they claim to creating in AI.
Meta is trying to make a new start with AI which is able to process information about the world around and physical objects.
There mere video recording of objects is far froml offering an objective input to correct its hallucinatory, solipsistic, circular logic which leads nowhere because video input also lacks REASON, LOGIC.
https://www.cnbc.com/2025/06/11/meta-launches-ai-world-model-to-advance-robotics-self-driving-cars.html
The disastrous dud documented by Apple in a study means, the USA has already lost the AI race.
Instead of being able to think, the AI merely scans existing datasets to extract the most statistically probable set of data with no reference to reality, with no capacity for self correction, with no ability to generalize an Apple Study has confirmed.
China could not produce a worse AI if it tried. In fact, it is building what looks to be a very successful AI sector as the Chines Ai developed by DeepSeek reveleaed.
Chinese AI startup DeepSeek released their R1 model on the world sent shockwaves through Silicon Valley.
Apparantly out of nowhere an AI model emerged that performed as well as any of big tech's products but had been built at a fraction of the cost and with a fraction of the resources.
All this, thanks to a better design.
Unlike the secretive Big Tech oligarchs who do not want the public to scrutinize their AI because they know it is chaos, confusion, delusion, DeepSeek is Open Source and its software available for others to study, use and modify.
https://www.bbc.com/audio/play/m002db9h
And it will take years, decades before AI robots are developped which can do a job that is not 100% routine and limited to a few set tasks. That is most medium level, vital jobs.
If Trump, Gates, Soros seek to send millions of Americans and Europeans to fight Russia and China (even supposing it remains a conventional war), there will be no labour force to take over production for the military, no AI, no robots available.
Any conventional war will end quickly for that reason with Russia and China taking over the West.
But if the war goes nuclear, then the fate of the oligarchs is sealed as they do not have any efficient Ai for defence purposes or similar hypersonic missiles.
Moreover, US AI requires a lot of data centers full of very expensive chips that need to be running 24/7 to pay back their immense upfront cost. Those centers need equally reliable, 24/7 sources of power.
These massive data centers and their power are also easy targets for hypersonic missile, EMP strikes.
https://www.scmp.com/economy/global-economy/article/3314011/chinas-orchard-ai-chip-grads-now-ripe-pickin-tech-trade-sours
From media
China is becoming a world leader in AI because of government support and its focus on computing efficiency.
The country’s AI industry and related sectors could grow into a market valued at $1.4 trillion by 2030.
China’s AI investments may break even by 2028 and deliver a 52% return on invested capital by 2030.
U.S. export controls could create barriers for AI development in China but won’t stop its progress.
AI is likely to boost China’s GDP growth by powering investment in the next two to three years and improving productivity over the longer run.
In 2017, China’s government defined its long-term strategy for artificial intelligence: become a global AI leader to boost its technological and economic progress.
Supported by ample government funding, the plan aligned corporate interests with national priorities. Eight years later, AI is at the center of business priorities, consumer behavior and economic growth in China.
...
Talent: The country has 47% of the world’s top AI researchers and more than 50% of AI patents. It continues investing heavily in the workforce, with government-backed programs encouraging students to pursue AI-related degrees and critical skills.
China’s Different AI Approach
In the next five years, China aims to achieve full independence from foreign countries in its AI development. Affected by U.S. export restrictions, the nation is prioritizing more efficient and less expensive AI technologies.
Case in point: DeepSeek—the Chinese startup that took the world by surprise in January when it announced that it spent just $5.6 million to develop an influential AI model—has helped facilitate a proliferation of Chinese AI apps. That in turn is accelerating consumer adoption.
“China is less concerned about building the most powerful AI capabilities, and more focused on bringing AI to market,” Kim says. “China embraced open-source AI, while the U.S. appears to be moving toward closed, tightly controlled AI systems.”
The next six to 12 months will be a critical period for Chinese AI firms, as an increasing number of enterprise deployments attempting to solve real-life problems will begin to show productivity gains,” Kim says.
In the long term, humanoids, or human-like robots powered by AI, may become broadly used for industrial, commercial and household purposes. The global market for humanoid robots is likely to reach $5 trillion by 2050, with 1 billion units in use, and 30% of those in China, according to Morgan Stanley Research.
AI to Fuel China’s Economic Growth
China’s AI investments may boost its long-term GDP growth and offset factors such as its aging working population and slowing productivity growth.
During the next two to three years, AI may add an additional 0.2 to 0.3 percentage point to China’s annual growth. It could also create 6.7 trillion yuan ($930 billion) in equivalent labor value, or 4.7% of the country’s 2024 GDP.
“Over the longer run, the AI revolution will translate into a productivity boost by increasing efficiency, optimizing production processes, and unlocking new products, services and jobs,” says Morgan Stanley Chief China Economist Robin Xing.
Although AI may improve productivity, it could also disrupt the labor market and create deflationary pressure.
“If left unaddressed, AI could exacerbate income inequality and add to social stability risks,” Xing says. “To mitigate the pain, policymakers may need to strengthen social protection for the unemployed, increase support for AI-oriented education and career training, and encourage job creation in sectors less susceptible to AI displacement.”
https://www.morganstanley.com/insights/articles/china-ai-becoming-global-leader
Mandy Zuoin Shanghai
Published: 6:00am, 12 Jun 2025Updated: 12:17pm, 12 Jun 2025
When Jack Wang enrolled as an undergraduate in microelectronics at a prestigious Chinese university, the year was 2019, and China was in the early days of its trade war with the United States.
Looking back, his decision to focus on the field revolving around the design and manufacture of hi-tech microchips has proved prescient. Today, it complements Beijing’s aspirations to make world-leading semiconductors amid Washington’s amped-up efforts to curtail China’s technological progress.
Indeed, the sector has grown by leaps and bounds in the six years since Wang laid out his focus of study, and it now serves as the backbone for artificial intelligence (AI) advancements.
“I realised that this industry was booming, and AI had been kind of popular back then – it just wasn’t as capable as it is today,” he said.
2019 was also the year that China’s Ministry of Education approved the first batch of AI majors at 35 universities, following an action plan in 2018 that sought to turn Chinese universities into global talent hubs leading the development of next-generation AI by 2030.
Today, more than 535 universities in China offer AI-related majors, and nearly half of the world’s top AI researchers are from the country, according to recent findings by Morgan Stanley.
That massive pool of AI talent, in a nation of 1.4 billion people, is giving China a competitive edge in the field that has become a defining battleground in global technological and geopolitical competition, researchers and industry professionals say.
Meta on Wednesday announced it’s rolling out a new AI “world model” that can better understand the 3D environment and movements of physical objects.
The tech giant, which owns popular social media apps Facebook and Instagram, said its new open-source AI model V-JEPA 2 can understand, predict and plan in the physical world. Known as a world model, these systems take inspiration from the logic of the physical world to build an internal simulation of reality, allowing AI to learn, plan, and make decisions in a more human-like manner.
For example, in the case of Meta’s new model, V-JEPA 2 can recognize that a ball rolling off a table will fall, or that an object hidden out of view hasn’t just vanished.
Artificial intelligence has been a key focus for Meta CEO Mark Zuckerberg as the company faces competition from players like OpenAI, Microsoft
and Google
. Meta is set to invest $14 billion into artificial intelligence firm Scale AI and hire its CEO Alexandr Wang to bolster its AI strategy, people familiar with the matter tell CNBC.
https://www.cnbc.com/2025/06/11/meta-launches-ai-world-model-to-advance-robotics-self-driving-cars.html
Meta is to announce a $15bn (£11bn) bid to achieve computerised “superintelligence”, according to multiple reports.
The Silicon Valley race to dominate artificial intelligence is speeding up despite the patchy performance of many existing AI systems.
Mark Zuckerberg, Meta’s chief executive, is expected to announce the company will buy a 49% stake in Scale AI, a startup led by Alexandr Wang and co-founded by Lucy Guo, in a move described by one Silicon Valley analyst as the action of “a wartime CEO”.
Superintelligence is described as a type of AI that can perform better than humans at all tasks. Currently AI cannot reach the same level as humans in all tasks, a state known as artificial general intelligence (AGI). Recent studies have shown that many mainstream systems collapse when presented with highly complex puzzles.
...
Meta’s attempt to leapfrog the current state of progress and target superintelligence is seen by observers as an attempt by the company to regain the initiative over AI after significant advances by competitors including Sam Altman’s OpenAI and Google and after Meta’s huge investment in the concept of the Metaverse flopped.
In March, Wang, 28, signed a deal to build a US defence department system called ThunderForge to apply AI to US military planning and operations, starting with the Indo-Pacific and European commands. The company also received early investment from Peter Thiel’s Founders Fund.
The move by Meta has led to fresh calls for European governments to launch their own more transparent research push that would ensure that the technology was developed robustly while maintaining public trust – an AI equivalent of the Cern European Organization for Nuclear Research in Switzerland.
...
Wooldridge said the reported deal “seems very much like an attempt by Meta to regain the initiative after the Metaverse didn’t take off. They invested spectacular amounts in that and it didn’t just fail, it was ridiculed.”
But he said the state of AI development was patchy and that AGI is still far away, never mind “superintelligence”.
“We have AI that can do genuinely impressive things but then it fails on an absolutely simple task which any competent GCSE student wouldn’t fail,” he said.
https://www.theguardian.com/technology/2025/jun/11/meta-to-announce-15bn-investment-in-bid-to-achieve-computerised-superintelligence-ai
...
He said that Meta’s strategy for AI was different from the likes of OpenAI and Anthropic in that AI is an enabler for Meta’s business rather than its core purpose.
“It means they’re not quite as desperate to achieve AGI, so they can afford to take a longer view,” he said.
https://www.dailymail.co.uk/media/article-14799463/tucker-carlson-fox-news-feud-iran-nuclear-bomb.htmlaining and deploying AI requires a lot of data centers full of very expensive chips that need to be running 24/7 to pay back their immense upfront cost. Those centers need equally reliable, 24/7 sources of power.
These data centers are also easy targets for hypersonic missile, EMP strikes.
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