US Diplomatic Push Against Alleged Chinese AI IP Theft

The U.S. State Department alleged that Chinese companies, including AI startup DeepSeek, are stealing AI intellectual property from the U.S. The department warned global counterparts through a diplomatic cable. China rejected the accusations as baseless, while DeepSeek launched a new AI model highlighting its growing autonomy.

The U.S. State Department has initiated a global campaign to address what it perceives as widespread intellectual property theft by Chinese firms, such as AI startup DeepSeek. This diplomatic cable, dated last Friday, has been distributed to various diplomatic posts globally, urging them to discuss these concerns with foreign officials.

The cable emphasized the process of 'distillation,' where less costly AI models are trained using data from more advanced models. The White House previously echoed similar allegations, but this is the first mention of the cable. Notably, OpenAI has also issued alerts to U.S. lawmakers about DeepSeek targeting leading American AI companies.

In response, the Chinese Embassy in Washington dismissed the U.S. accusations as groundless. DeepSeek recently revealed its V4 AI model compatible with Huawei technology, underscoring China's increasing tech independence. As the U.S.-China tech rivalry fuels tensions, these diplomatic maneuvers may influence upcoming talks between Presidents Trump and Xi Jinping.