Earlier quoted context omitted.
Maybe from NVIDIA? "Commoditize your product's complement". https://www.joelonsoftware.com/2002/06/12/strategy-letter-v/
This is the reason IMO. Fundamentally China right now is better at manufacturing (e.g. robotics). AI is the complement to this - AI increases the demand for tech manufactured goods. Whereas America is in the opposite position w.r.t which side is their advantage (i.e. the software). AI for China is an enabler into a potentially bigger market which is robots/manufacturing/etc. Commoditizing the AI/intelligence part mea…
The thing is, model is in effect a piece of software that has almost 0 marginal cost. You just need a few, maybe even one company to release SOTA models consistently to really crash the valuation of every model companies because every one can acquire that single piece of software without cost to leave other model companies by themselves. The foundational model scene is basically in an extremely unstable state readily to return to a stable state of the model cost goes to 0. You really don't need the state competition assumption to explain the current state of affairs.