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Analysts Say China’s Moonshot AI Is Closing Gap With U.S. Models

Moonshot AI founder Yang Zhilin (Pic via X)

Moonshot AI’s latest model, Kimi K2.5, has sharply narrowed the artificial intelligence gap between China and the United States, raising new doubts about the effectiveness of U.S. export controls under President Donald Trump.

Analysts say the Beijing-based start-up’s progress suggests Washington’s restrictions on advanced semiconductors have slowed China but failed to stop it from keeping pace with American rivals.

Kyle Chan of the Brookings Institution said Chinese firms appear to have offset hardware limits with strong funding and efficiency gains.

Independent benchmarks by Artificial Analysis show Kimi K2.5 trailing top U.S. models from OpenAI, Anthropic, and Google DeepMind by only a few points, while costing far less to operate.

Moonshot has also released the model as open source, allowing global developers to use it freely.

The move challenges U.S. companies that rely on closed, subscription-based models. Analysts say the release underscores China’s fast-follower strategy in advanced AI development.

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