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The Nexus
TECHNOLOGYJul 17 · 09:40 UTCAXIOSBen Berkowitz

China just erased America's AI lead

China's Moonshot AI released Kimi K3, an open-weight AI model that outperformed leading U.S. models like Anthropic's Fable 5 and OpenAI's GPT-5.6 Sol in coding tests while costing 40% less. The model's rapid advancement challenges U.S. AI leadership and could disrupt market dynamics by offering a cheaper, customizable alternative to premium American systems.

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