I would argue that what the U.S is truly exceptional at, and what shows no signs of slowing down, is AI hype. Gemini 2.5 Pro is an incremental technical upgrade over DeepSeek-R1 in many areas, but it’s closed-source, leaving us in the dark about its details. It likely doesn’t surpass what we’ll soon see open-sourced with R2. Can this really be called AI progress when it’s a black box, accessible only through Google’s heavily censored API, with no accompanying research paper? Google can’t achieve true AI progress like DeepSeek because its core business model holds it back.
Meanwhile, high-quality, practical AI advancements are flourishing in China, going far beyond chatbots into manufacturing, healthcare, education, electronics, EVs, and many other fields. It’s being integrated everywhere due to DeepSeek’s open-source nature, which allows anyone to host and modify it to their needs.
In my view, meaningful U.S AI progress has undoubtedly slowed over the past six months (since the reasoning paradigm was proven by o1), while the hype around U.S AI only grows louder. In contrast, China’s meaningful AI progress has accelerated significantly since the release of Qwen-2.5 six months ago, followed by DeepSeek V3/R1 and the imminent R2. Add to that BYD’s integration of AI into all its cars, the rapid advancements by countless humanoid robot companies, and the profound economic ripple effect created by R1 across China’s entire economy. This is real AI progress. Not Gemini’s censored, closed black box, which will become irrelevant the moment R2 arrives.