"For years, the U.S. outpaced all other global regions on AI-in model size, performance, artificial intelligence research, citations, and more. But China emerged as an AI counterweight to the U.S., gradually gaining ground, and this year it appears to have nearly erased any U.S. lead."
"China has changed the narrative of its ability to compete against the U.S. in a broader tech war. Spurred by its 2025 'DeepSeek moment,' China has poured funding into AI startups, with IPOs in Hong Kong last quarter reaching a five-year high of $110 billion across 40 new listings."
China has significantly reduced the performance gap with the U.S. in artificial intelligence, particularly in AI bot performance. The 2026 AI Index report indicates that the difference in Arena scores between the top AI models in both countries has diminished. While the U.S. maintains a lead in the number of top AI models, China excels in publication citations and industrial robot installations. China's investments in AI startups and infrastructure have contributed to its competitive stance against the U.S.
Read at Fortune
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