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Elon Musk explains how data centers in Space could help the US compete with China in AI “Given that Chinese AI companies are doing as well as they are with a relatively small amount of compute, it seems that if they had a lot of compute, there’s a good...

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"China is very interested in making sure that no heavy industry ever goes hungry for power." Elon's been saying this for years, and he's right: the AI scaling constraint is shifting from chips → transformers → energy. Dan Wang explains how China is already scaling electricity production far faster than the U.S. > China is adding 500 GW of solar capacity v. 50GW in the U.S. > 33 nuclear plants under construction in China, and zero in the U.S.

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Peter Navarro: "We're looking very very carefully at this whole problem of AI data centers driving up the cost of electricity for Americans. You can expect strong action from President Trump on this. It's amazing in a bad way how much electricity is projected for the AI folks to use, and a significant amount of electricity these AI centers are using is serving ChatGPT users in places like India and China."
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Peter Navarro: "We're looking very very carefully at this whole problem of AI data centers driving up the cost of electricity for Americans. You can expect strong action from President Trump on this. It's amazing in a bad way how much electricity is projected for the AI folks to use, and a significant amount of electricity these AI centers are using is serving ChatGPT users in places like India and China."

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Elon Musk: Given that the Chinese AI companies are doing as well as they are with a relatively small amount of compute, it seems as though if they had a lot of compute, there's a good chance that they would be the leaders. And at some point, they probably will have a lot of compute. Source: The Economist
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Elon Musk: Given that the Chinese AI companies are doing as well as they are with a relatively small amount of compute, it seems as though if they had a lot of compute, there's a good chance that they would be the leaders. And at some point, they probably will have a lot of compute. Source: The Economist

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Nvidia $NVDA CEO Jensen Huang was asked about a recent story that said he warned that China will beat the US in the AI race “That’s not what I said. What I said was China has very good AI technology. They have many AI researchers, in fact 50% of the world’s AI researchers are in China. And they develop very good AI technology. In fact, the most popular AI models in the world today, open-source models, are from China. So, they are moving very, very fast. The United States has to continue to move incredibly fast. And otherwise, otherwise – the world is very competitive, so we have to run fast.” (H/T Dan Nystedt)
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Nvidia $NVDA CEO Jensen Huang was asked about a recent story that said he warned that China will beat the US in the AI race “That’s not what I said. What I said was China has very good AI technology. They have many AI researchers, in fact 50% of the world’s AI researchers are in China. And they develop very good AI technology. In fact, the most popular AI models in the world today, open-source models, are from China. So, they are moving very, very fast. The United States has to continue to move incredibly fast. And otherwise, otherwise – the world is very competitive, so we have to run fast.” (H/T Dan Nystedt)

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THAT MOMENT WHEN NVIDIA CEO JENSEN HUANG WAS ASKED ABOUT HIS COMMENTS ON CHINA BEATING THE U.S. IN THE AI RACE: “THAT’S NOT WHAT I SAID. WHAT I SAID WAS THAT CHINA HAS VERY GOOD AI TECHNOLOGY. THEY HAVE MANY AI RESEARCHERS. IN FACT, 50% OF THE WORLD’S AI RESEARCHERS ARE IN CHINA. THEY DEVELOP VERY GOOD AI TECHNOLOGY. THE MOST POPULAR OPEN-SOURCE AI MODELS IN THE WORLD TODAY ARE FROM CHINA. SO THEY ARE MOVING VERY, VERY FAST. THE UNITED STATES HAS TO CONTINUE TO MOVE INCREDIBLY FAST. OTHERWISE, THE WORLD IS VERY COMPETITIVE, SO WE HAVE TO RUN FAST.”
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THAT MOMENT WHEN NVIDIA CEO JENSEN HUANG WAS ASKED ABOUT HIS COMMENTS ON CHINA BEATING THE U.S. IN THE AI RACE: “THAT’S NOT WHAT I SAID. WHAT I SAID WAS THAT CHINA HAS VERY GOOD AI TECHNOLOGY. THEY HAVE MANY AI RESEARCHERS. IN FACT, 50% OF THE WORLD’S AI RESEARCHERS ARE IN CHINA. THEY DEVELOP VERY GOOD AI TECHNOLOGY. THE MOST POPULAR OPEN-SOURCE AI MODELS IN THE WORLD TODAY ARE FROM CHINA. SO THEY ARE MOVING VERY, VERY FAST. THE UNITED STATES HAS TO CONTINUE TO MOVE INCREDIBLY FAST. OTHERWISE, THE WORLD IS VERY COMPETITIVE, SO WE HAVE TO RUN FAST.”

Vivek Sen

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🚨 NVIDIA CEO Jensen Huang on China. "The world doesn’t realize is how dependent the AI industry is on brilliant Chinese students and scientists. Around 50% of the world’s AI researchers are from China. The world is unaware of how deeply dependent the United States and China are on each other. The idea that the United States can decouple from China is flawed." From 'TIME' YT channel (link in comment)
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🚨 NVIDIA CEO Jensen Huang on China. "The world doesn’t realize is how dependent the AI industry is on brilliant Chinese students and scientists. Around 50% of the world’s AI researchers are from China. The world is unaware of how deeply dependent the United States and China are on each other. The idea that the United States can decouple from China is flawed." From 'TIME' YT channel (link in comment)

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NVIDIA CEO Jensen Huang on China. "The world doesn’t realize is how dependent the AI industry is on brilliant Chinese students and scientists. Around 50% of the world’s AI researchers are from China. The world is unaware of how deeply dependent the United States and China are on each other. The idea that the United States can decouple from China is flawed." ---- From 'TIME' YT channel (link in comment)
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NVIDIA CEO Jensen Huang on China. "The world doesn’t realize is how dependent the AI industry is on brilliant Chinese students and scientists. Around 50% of the world’s AI researchers are from China. The world is unaware of how deeply dependent the United States and China are on each other. The idea that the United States can decouple from China is flawed." ---- From 'TIME' YT channel (link in comment)

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Elon Musk: The real bottleneck for AI is not chips, it is electricity. “If you look at electrical output outside of China, everywhere outside of China, it’s more or less flat. It’s maybe a slight increase, but pretty close flat. China has a rapid increase in electrical output. But if you’re putting data centers anywhere except China, where are you going to get your electricity? Especially as you scale. The output of chips is growing pretty much exponentially, but the output of electricity is flat. So how are you going to turn the chips on? Magical power sources? Magical electricity fairies? It’s harder to build on land than it is in space. It’s harder to scale on the ground than it is to scale in space. But also, you’re going to get about 5 times the effectiveness of solar panels in space versus the ground, and you don’t need batteries. I almost wore my other shirt, which says it’s always sunny in space because you don’t have a day-night cycle or seasonality, clouds, or an atmosphere in space. The atmosphere alone results in about a 30% loss of energy. So, any given solar panels can do about 5 times more power in space than on the ground, and you avoid the cost of having batteries to carry you through the night. So it’s actually much cheaper to do it in space. And my prediction is that it will be by far the cheapest place to put AI. It will be space in 36 months or less, maybe 30 months.” Dwarkesh Podcast, February 5, 2026.
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Elon Musk: The real bottleneck for AI is not chips, it is electricity. “If you look at electrical output outside of China, everywhere outside of China, it’s more or less flat. It’s maybe a slight increase, but pretty close flat. China has a rapid increase in electrical output. But if you’re putting data centers anywhere except China, where are you going to get your electricity? Especially as you scale. The output of chips is growing pretty much exponentially, but the output of electricity is flat. So how are you going to turn the chips on? Magical power sources? Magical electricity fairies? It’s harder to build on land than it is in space. It’s harder to scale on the ground than it is to scale in space. But also, you’re going to get about 5 times the effectiveness of solar panels in space versus the ground, and you don’t need batteries. I almost wore my other shirt, which says it’s always sunny in space because you don’t have a day-night cycle or seasonality, clouds, or an atmosphere in space. The atmosphere alone results in about a 30% loss of energy. So, any given solar panels can do about 5 times more power in space than on the ground, and you avoid the cost of having batteries to carry you through the night. So it’s actually much cheaper to do it in space. And my prediction is that it will be by far the cheapest place to put AI. It will be space in 36 months or less, maybe 30 months.” Dwarkesh Podcast, February 5, 2026.

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ELON MUSK: "For the next few years America is likely to win the race in AI. Then it will be a function of who controls the AI chip fabrication. If more of the factories are owned by China then China will win. Right now all the chip fabs are in Taiwan. 100%. If China invades Taiwan in the near term the world will be cut off from advanced AI chips. I think it's essential for national security that we begin manufacturing our own chips in the US."
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ELON MUSK: "For the next few years America is likely to win the race in AI. Then it will be a function of who controls the AI chip fabrication. If more of the factories are owned by China then China will win. Right now all the chip fabs are in Taiwan. 100%. If China invades Taiwan in the near term the world will be cut off from advanced AI chips. I think it's essential for national security that we begin manufacturing our own chips in the US."

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ELON MUSK: “FOR THE NEXT FEW YEARS AMERICA IS LIKELY TO WIN THE RACE IN AI. THEN IT WILL BE A FUNCTION OF WHO CONTROLS THE AI CHIP FABRICATION. IF MORE OF THE FACTORIES ARE OWNED BY CHINA THEN CHINA WILL WIN." "RIGHT NOW ALL THE CHIP FABS ARE IN TAIWAN. 100%." "IF CHINA INVADES TAIWAN IN THE NEAR TERM THE WORLD WILL BE CUT OFF FROM ADVANCED AI CHIPS." "I THINK IT'S ESSENTIAL FOR NATIONAL SECURITY THAT WE BEGIN MANUFACTURING OUR OWN CHIPS IN THE US.”
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ELON MUSK: “FOR THE NEXT FEW YEARS AMERICA IS LIKELY TO WIN THE RACE IN AI. THEN IT WILL BE A FUNCTION OF WHO CONTROLS THE AI CHIP FABRICATION. IF MORE OF THE FACTORIES ARE OWNED BY CHINA THEN CHINA WILL WIN." "RIGHT NOW ALL THE CHIP FABS ARE IN TAIWAN. 100%." "IF CHINA INVADES TAIWAN IN THE NEAR TERM THE WORLD WILL BE CUT OFF FROM ADVANCED AI CHIPS." "I THINK IT'S ESSENTIAL FOR NATIONAL SECURITY THAT WE BEGIN MANUFACTURING OUR OWN CHIPS IN THE US.”

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ELON MUSK: “FOR THE NEXT FEW YEARS AMERICA IS LIKELY TO WIN THE RACE IN AI. THEN IT WILL BE A FUNCTION OF WHO CONTROLS THE AI CHIP FABRICATION. IF MORE OF THE FACTORIES ARE OWNED BY CHINA THEN CHINA WILL WIN." "RIGHT NOW ALL THE CHIP FABS ARE IN TAIWAN. 100%." "IF CHINA INVADES TAIWAN IN THE NEAR TERM THE WORLD WILL BE CUT OFF FROM ADVANCED AI CHIPS." "I THINK IT'S ESSENTIAL FOR NATIONAL SECURITY THAT WE BEGIN MANUFACTURING OUR OWN CHIPS IN THE US.”
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ELON MUSK: “FOR THE NEXT FEW YEARS AMERICA IS LIKELY TO WIN THE RACE IN AI. THEN IT WILL BE A FUNCTION OF WHO CONTROLS THE AI CHIP FABRICATION. IF MORE OF THE FACTORIES ARE OWNED BY CHINA THEN CHINA WILL WIN." "RIGHT NOW ALL THE CHIP FABS ARE IN TAIWAN. 100%." "IF CHINA INVADES TAIWAN IN THE NEAR TERM THE WORLD WILL BE CUT OFF FROM ADVANCED AI CHIPS." "I THINK IT'S ESSENTIAL FOR NATIONAL SECURITY THAT WE BEGIN MANUFACTURING OUR OWN CHIPS IN THE US.”

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New Delphi Podcast with Accelxr 👾, author of our latest report on China’s AI labs He went into the research thinking China was mostly distilling US models and benchmark-maxing. He came out with a very different view We cover: – Why DeepSeek is doing real research, not just copying – How Chinese labs are optimizing below CUDA – Why China’s electricity advantage could matter more than chips – Whether cheap open-source models are part of a broader strategy – Why more Chinese AI talent is returning home – Whether restricting NVIDIA chips could actually accelerate China’s independence – What happens if China reaches full AI training sovereignty 00:00 Intro 00:35 Is China Innovating or Just Distilling? 06:10 DeepSeek and China’s Leading AI Labs 10:15 How China Is Working Around Weaker Chips 18:25 China’s Biggest AI Advantage: Electricity 29:45 Three Scenarios for the US-China AI Race 40:20 America’s AI Talent Advantage Is Reversing 47:45 China’s Path to AI Sovereignty Full episode:

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🇺🇸 ELON MUSK ON THE AI ENGAME. ''For the next few years, America is likely to win the AI race.'' Then it becomes a question of who controls the AI chip fabrication. If more of the factories are owned by China, China will win. Right now almost all the advanced factories are in Taiwan. ''If China invades Taiwan in the near term, the world will be cut off from advanced AI chips.'' "It's essential for national security that we begin manufacturing our own chips in the US." My take: China might not even need to invade. Huawei and other domestic players are already racing to close the gap. Turn on your notifications for updates on that.
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🇺🇸 ELON MUSK ON THE AI ENGAME. ''For the next few years, America is likely to win the AI race.'' Then it becomes a question of who controls the AI chip fabrication. If more of the factories are owned by China, China will win. Right now almost all the advanced factories are in Taiwan. ''If China invades Taiwan in the near term, the world will be cut off from advanced AI chips.'' "It's essential for national security that we begin manufacturing our own chips in the US." My take: China might not even need to invade. Huawei and other domestic players are already racing to close the gap. Turn on your notifications for updates on that.

CryptoGoos

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Elon Musk talks about how important electrical power production is for AI He underlines that later this year, the world might reach a point in which it will produce more AI chips than it can power, with the exception of China, which still produces enormous quantities of power.
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Elon Musk talks about how important electrical power production is for AI He underlines that later this year, the world might reach a point in which it will produce more AI chips than it can power, with the exception of China, which still produces enormous quantities of power.

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AI is transforming the digital world, but it comes with a huge energy demand in the real world. Dai Hancheng 戴瀚程, Associate Professor at the PKU School of Environmental Science and Engineering, discusses how China could connect its growing AI industry with abundant renewable electricity during a PKU Masterclass. With initiatives linking data in the east with computing capacity in the west, Professor Dai shows the US college students in the 2026 China Deep Dive program how digital development and the transition to clean energy could work together. The future of AI may depend not only on smarter computing, but also on where its electricity comes from.
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AI is transforming the digital world, but it comes with a huge energy demand in the real world. Dai Hancheng 戴瀚程, Associate Professor at the PKU School of Environmental Science and Engineering, discusses how China could connect its growing AI industry with abundant renewable electricity during a PKU Masterclass. With initiatives linking data in the east with computing capacity in the west, Professor Dai shows the US college students in the 2026 China Deep Dive program how digital development and the transition to clean energy could work together. The future of AI may depend not only on smarter computing, but also on where its electricity comes from.

Peking University

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Elon Musk says the AI boom hits a WALL this year when we run out of power to run the chips. He says the whole industry is about to learn a hard lesson in hardware. Chip output is exploding, but electricity is nearly flat everywhere outside China. So the two lines cross this year. He says by the end of the year, we will be making more AI chips than we can actually turn on. Millions of them pile up with nowhere to plug in. In his words, the bottleneck for the next year is not chips, it is raw power. Whoever can turn on the most chips fastest wins the race. In the end, the AI race comes down to one thing: Raw electricity. — Elon Musk (.Elon Musk) on Dwarkesh Patel's (.Dwarkesh Patel) podcast
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Elon Musk says the AI boom hits a WALL this year when we run out of power to run the chips. He says the whole industry is about to learn a hard lesson in hardware. Chip output is exploding, but electricity is nearly flat everywhere outside China. So the two lines cross this year. He says by the end of the year, we will be making more AI chips than we can actually turn on. Millions of them pile up with nowhere to plug in. In his words, the bottleneck for the next year is not chips, it is raw power. Whoever can turn on the most chips fastest wins the race. In the end, the AI race comes down to one thing: Raw electricity. — Elon Musk (.Elon Musk) on Dwarkesh Patel's (.Dwarkesh Patel) podcast

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Sacks: China’s Biggest AI Advantage Over America Is Optimism @jason on China's Robot Olympics: “This is pretty crazy. The CCP is f**king brilliant at PR. Look what they did. They got a bunch of Chinese people to fill a stadium and cheer for AI and robotics. They're cheering for it. They're rooting for it.” David Sacks: “It is true that China is much more optimistic about AI than we are. AI optimism in China is over 80%. They poll on the question, ‘Do you think AI will be more beneficial than harmful?’ Over 80% of Chinese people say yes. In the US, that number is like 30%. So I've been saying for a while that the US is ahead of China in every category except one, which is optimism. And that is the biggest risk to us winning this AI race against China, is doing something that will shoot ourselves in the foot because we're so pessimistic about what AI might do.”
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Sacks: China’s Biggest AI Advantage Over America Is Optimism @jason on China's Robot Olympics: “This is pretty crazy. The CCP is f**king brilliant at PR. Look what they did. They got a bunch of Chinese people to fill a stadium and cheer for AI and robotics. They're cheering for it. They're rooting for it.” David Sacks: “It is true that China is much more optimistic about AI than we are. AI optimism in China is over 80%. They poll on the question, ‘Do you think AI will be more beneficial than harmful?’ Over 80% of Chinese people say yes. In the US, that number is like 30%. So I've been saying for a while that the US is ahead of China in every category except one, which is optimism. And that is the biggest risk to us winning this AI race against China, is doing something that will shoot ourselves in the foot because we're so pessimistic about what AI might do.”

The All-In Podcast

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Jensen Huang is warning that China is winning the AI energy race. $NVDA $AMD $IREN $NBIS 🇨🇳 🇺🇸 🇪🇺 The US is generations ahead on chips, but that doesn't matter if there is no energy to power them. Europe is completely irrelevant in AI and doomed already. It takes 10 years to build a new data center in Germany, as there is no power, and they are turning off nuclear power plants. The US won't let China win, so we could be at the beginning stages of an energy boom. The question is which stocks will benefit from this boom the most?
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Jensen Huang is warning that China is winning the AI energy race. $NVDA $AMD $IREN $NBIS 🇨🇳 🇺🇸 🇪🇺 The US is generations ahead on chips, but that doesn't matter if there is no energy to power them. Europe is completely irrelevant in AI and doomed already. It takes 10 years to build a new data center in Germany, as there is no power, and they are turning off nuclear power plants. The US won't let China win, so we could be at the beginning stages of an energy boom. The question is which stocks will benefit from this boom the most?

Ray Myers

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