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Sacks drops an absolute bar, criticizing Anthropic for using “distillation” as a door to regulatory capture “If stopping distillation was its primary objective, Anthropic would push to stop Chinese access to American models, not American access to Chinese models.” - David Sacks

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David Sacks says Anthropic could stop Chinese distillation if they wanted to, but they won't because it slows growth "The way that you know that this whole distillation thing is fake, is because if stopping distillation was their primary objective, Anthropic would push to ban Chinese access to American models, not American access to Chinese models." "They’re the ones in the best position to block it. If industrial scale distillation is a national security threat, they’re the ones who need to stop it, because that is the place where distillation occurs. You have to stop it at the source." "They know that if they KYC their customers, it’ll slow their growth. So instead, what they’re saying is, “Hey, ban our competitors.” If they really think it’s that big a threat, they should use a few points of their 90% gross margins to do that." "It seems to me that this debate is all backwards. The question should be on Anthropic to explain why it’s doing such a bad job, not on the whole American open source ecosystem to be punished for Anthropic’s failure."

David Sacks says Anthropic could stop Chinese distillation if they wanted to, but they won't because it slows growth "The way that you know that this whole distillation thing is fake, is because if stopping distillation was their primary objective, Anthropic would push to ban Chinese access to American models, not American access to Chinese models." "They’re the ones in the best position to block it. If industrial scale distillation is a national security threat, they’re the ones who need to stop it, because that is the place where distillation occurs. You have to stop it at the source." "They know that if they KYC their customers, it’ll slow their growth. So instead, what they’re saying is, “Hey, ban our competitors.” If they really think it’s that big a threat, they should use a few points of their 90% gross margins to do that." "It seems to me that this debate is all backwards. The question should be on Anthropic to explain why it’s doing such a bad job, not on the whole American open source ecosystem to be punished for Anthropic’s failure."

dnap

191,379 views • 2 months ago

🚨David Sacks: There is no White House decision to ban open source models. Trump is listening to a chorus of voices — and Sacks says it would be a tragic mistake to take action against the open source ecosystem. His argument: Anthropic is the fastest growing tech company at scale in history. $10B ARR at the start of the year. $70B now. This is not a company that needs government protection. And yet they've spent enormous energy trying to panic Washington into banning American developers from using Chinese open source models. If distillation by Chinese companies was really their primary concern — a genuine national security threat — they would push to ban Chinese access to American models. Instead they're pushing to ban American access to Chinese models. Because this helps Anthropic's competitive position. Sacks: "That's the way you know the whole distillation thing is fake." He went further. If distillation is happening at industrial scale, it's obvious to see. Anthropic has 90% gross margins. Why aren't they stopping it at the source? Answer: because KYC'ing their customers would slow their growth. So instead of fixing their own house, they're asking the government to kneecap their competitors. "The question should be on Anthropic to explain why it's doing such a bad job — not on the whole American open source ecosystem to be punished for Anthropic's failure." Trump's AI Czar on The All-In Podcast.

🚨David Sacks: There is no White House decision to ban open source models. Trump is listening to a chorus of voices — and Sacks says it would be a tragic mistake to take action against the open source ecosystem. His argument: Anthropic is the fastest growing tech company at scale in history. $10B ARR at the start of the year. $70B now. This is not a company that needs government protection. And yet they've spent enormous energy trying to panic Washington into banning American developers from using Chinese open source models. If distillation by Chinese companies was really their primary concern — a genuine national security threat — they would push to ban Chinese access to American models. Instead they're pushing to ban American access to Chinese models. Because this helps Anthropic's competitive position. Sacks: "That's the way you know the whole distillation thing is fake." He went further. If distillation is happening at industrial scale, it's obvious to see. Anthropic has 90% gross margins. Why aren't they stopping it at the source? Answer: because KYC'ing their customers would slow their growth. So instead of fixing their own house, they're asking the government to kneecap their competitors. "The question should be on Anthropic to explain why it's doing such a bad job — not on the whole American open source ecosystem to be punished for Anthropic's failure." Trump's AI Czar on The All-In Podcast.

KanekoaTheGreat

48,392 views • 2 months ago

Anthropic has alleged that Chinese entities are targeting its AI models to copy their capabilities — using a technique called distillation. Here's a look at the geopolitical row over AI competition and whether China is pulling ahead

Anthropic has alleged that Chinese entities are targeting its AI models to copy their capabilities — using a technique called distillation. Here's a look at the geopolitical row over AI competition and whether China is pulling ahead

Reuters

60,846 views • 8 hours ago

Trump advisor David Sacks calls out Anthropic who “go out of their way to take that shot at open source models” in effort to weaken AI rivals. “I think where it’s all leading to is an effort to ban open source models.” 🎥 David Sacks / The All-In Podcast

Trump advisor David Sacks calls out Anthropic who “go out of their way to take that shot at open source models” in effort to weaken AI rivals. “I think where it’s all leading to is an effort to ban open source models.” 🎥 David Sacks / The All-In Podcast

Oli London

50,889 views • 3 months ago

Asked if China's DeepSeek stole American IP, AI Czar David Sacks says it looks like a technique called distillation was used where a student model can "suck the knowledge" out of the parent model and there is evidence that DeepSeek distilled knowledge from OpenAI's models, which is leading to efforts to develop techniques to prevent future copycats

Asked if China's DeepSeek stole American IP, AI Czar David Sacks says it looks like a technique called distillation was used where a student model can "suck the knowledge" out of the parent model and there is evidence that DeepSeek distilled knowledge from OpenAI's models, which is leading to efforts to develop techniques to prevent future copycats

Tsarathustra

710,764 views • 1 year ago

Trump AI czar David Sacks said Anthropic made the "right decision" to restrict access to Mythos due to national security concerns. "I would not want the hackers to have access to it before the defenders," he told our Dasha Burns on #TheConversation. 🎧

Trump AI czar David Sacks said Anthropic made the "right decision" to restrict access to Mythos due to national security concerns. "I would not want the hackers to have access to it before the defenders," he told our Dasha Burns on #TheConversation. 🎧

POLITICO

22,642 views • 4 months ago

What happens to Chinese AI once American companies stop releasing frontier models internationally? Gavin Baker says that China's made a "terrible mistake" by relying on its own chips and distilling American models: "It feels like the administration has been willing to let them buy H200s or B30s. And I think [the Chinese] have this crazy belief that, 'Oh, our own internal chips are good enough.' They're not." "And what's making them think that is that Chinese labs are very, very good at distillation...we've all seen those iPhone farms in China. You know they've got the same thing for distillation. They've got 100,000 endpoints distilling these models across every API available." "They've gotten really, really good at that. But all that goes away if people stop releasing these models at the frontier. And I think Mythos is a sign of things to come there."

What happens to Chinese AI once American companies stop releasing frontier models internationally? Gavin Baker says that China's made a "terrible mistake" by relying on its own chips and distilling American models: "It feels like the administration has been willing to let them buy H200s or B30s. And I think [the Chinese] have this crazy belief that, 'Oh, our own internal chips are good enough.' They're not." "And what's making them think that is that Chinese labs are very, very good at distillation...we've all seen those iPhone farms in China. You know they've got the same thing for distillation. They've got 100,000 endpoints distilling these models across every API available." "They've gotten really, really good at that. But all that goes away if people stop releasing these models at the frontier. And I think Mythos is a sign of things to come there."

TBPN

122,701 views • 3 months ago

Anthropic said it will ‘abruptly disable’ its most advanced AI models for all users after the US government ordered it to suspend access to the models for foreign nationals, citing national security concerns

Anthropic said it will ‘abruptly disable’ its most advanced AI models for all users after the US government ordered it to suspend access to the models for foreign nationals, citing national security concerns

Reuters

87,991 views • 3 months ago

JUST IN: Anthropic confirms China is stealing its AI models, citing "multiple rounds of evidence." Anthropic's Frontier Red Team lead says Chinese research groups are distilling from US models and calls it "theft of American IP." "If you're taking the best of American innovation and throwing it back to attack America, that's really concerning."

JUST IN: Anthropic confirms China is stealing its AI models, citing "multiple rounds of evidence." Anthropic's Frontier Red Team lead says Chinese research groups are distilling from US models and calls it "theft of American IP." "If you're taking the best of American innovation and throwing it back to attack America, that's really concerning."

Coin Bureau

117,427 views • 2 months ago

Bessent says Chinese AI will fail because China “won’t turn over enough control.” He seems to have forgotten that many of China’s leading models are open-weight and used around the world — including by Americans. DeepSeek. Qwen. GLM. MiniMax. China is not telling American developers they are forbidden to download and use them. Meanwhile, American frontier AI is increasingly closed, geofenced and politically rationed. OpenAI does not officially serve mainland China or Hong Kong, and warns that accessing its services from unsupported regions may get your account suspended. Anthropic goes even further: it does not even provide a Chinese-language UI, as if speaking Chinese were a chinese nationality, while restricting Chinese companies — including overseas subsidiaries — and requiring users from unsupported regions such as China to verify their identity or lose access. So remind me again: Who exactly is afraid to give up control? Chinese models are being released for the world to download, deploy and modify. American models increasingly come with a map, a blacklist, a permission system and a kill switch. Apparently “freedom” now means Washington decides who is allowed to use the model.

Bessent says Chinese AI will fail because China “won’t turn over enough control.” He seems to have forgotten that many of China’s leading models are open-weight and used around the world — including by Americans. DeepSeek. Qwen. GLM. MiniMax. China is not telling American developers they are forbidden to download and use them. Meanwhile, American frontier AI is increasingly closed, geofenced and politically rationed. OpenAI does not officially serve mainland China or Hong Kong, and warns that accessing its services from unsupported regions may get your account suspended. Anthropic goes even further: it does not even provide a Chinese-language UI, as if speaking Chinese were a chinese nationality, while restricting Chinese companies — including overseas subsidiaries — and requiring users from unsupported regions such as China to verify their identity or lose access. So remind me again: Who exactly is afraid to give up control? Chinese models are being released for the world to download, deploy and modify. American models increasingly come with a map, a blacklist, a permission system and a kill switch. Apparently “freedom” now means Washington decides who is allowed to use the model.

𝘊𝘰𝘳𝘳𝘪𝘯𝘦

27,623 views • 12 days ago

Anthropic said that the US Commerce Department has lifted export controls on its Fable and Mythos AI models, less than three weeks after the company was ordered to suspend access to its most advanced AI models over national security risks

Anthropic said that the US Commerce Department has lifted export controls on its Fable and Mythos AI models, less than three weeks after the company was ordered to suspend access to its most advanced AI models over national security risks

Reuters

55,523 views • 2 months ago

NEW & Exclusive: Jack Clark, British founder of Anthropic… answered it all - what is the precise humanity threatening problem? Isn’t this just a result of push to commercialise? Aren’t you trying to cut cheaper Chinese open models out of competition? Why not stop yourself?

NEW & Exclusive: Jack Clark, British founder of Anthropic… answered it all - what is the precise humanity threatening problem? Isn’t this just a result of push to commercialise? Aren’t you trying to cut cheaper Chinese open models out of competition? Why not stop yourself?

Faisal Islam

36,601 views • 8 days ago

David Sacks on How Anthropic is Ironically Running Surveillance on Their Latest Models “This is the company that said that it was against government surveillance. They are now retaining for 30 days every prompt and every output you send to one of these Mythos class models.”

David Sacks on How Anthropic is Ironically Running Surveillance on Their Latest Models “This is the company that said that it was against government surveillance. They are now retaining for 30 days every prompt and every output you send to one of these Mythos class models.”

Chief Nerd

277,817 views • 3 months ago

.David Sacks was right: Anthropic is good at two things—product releases, and scaring people. “They have a proven pattern of using fear as a way to market their new products.” Via The All-In Podcast

.David Sacks was right: Anthropic is good at two things—product releases, and scaring people. “They have a proven pattern of using fear as a way to market their new products.” Via The All-In Podcast

Jawwwn

32,219 views • 14 days ago

David Sacks: Anthropic Is Trying to Crush Open Source AI and the American Developers Who Use It David Sacks: “I know people don't have a lot of sympathy for Chinese companies, that's fine. I'm not defending Chinese companies. I'm defending American developers who need to be able to use everything in the public domain. And let me give you an example. Cursor rolled out its new product, Composer 2. They were able to post-train that model using Kimi K2.5 on their own proprietary coding data. They started with a Chinese open source model, and then they used their own data, and they came up with a new derivative product. This is the way that open source works. You take things that are in the public domain, you fork them, you make them your own. And by the way, once it's in the public domain, it's not a Chinese model anymore. No data is going back to China, nothing's going back to China. An American company has taken open source contributions in the public domain, made it their own, and then developed their own model. And if you say that American companies can't do that, or that somehow it's tainted with IP theft, you are basically going to put a dagger through the heart of the entire American open source ecosystem. And that is exactly what Anthropic wants, because they do not want to have the competition.”

David Sacks: Anthropic Is Trying to Crush Open Source AI and the American Developers Who Use It David Sacks: “I know people don't have a lot of sympathy for Chinese companies, that's fine. I'm not defending Chinese companies. I'm defending American developers who need to be able to use everything in the public domain. And let me give you an example. Cursor rolled out its new product, Composer 2. They were able to post-train that model using Kimi K2.5 on their own proprietary coding data. They started with a Chinese open source model, and then they used their own data, and they came up with a new derivative product. This is the way that open source works. You take things that are in the public domain, you fork them, you make them your own. And by the way, once it's in the public domain, it's not a Chinese model anymore. No data is going back to China, nothing's going back to China. An American company has taken open source contributions in the public domain, made it their own, and then developed their own model. And if you say that American companies can't do that, or that somehow it's tainted with IP theft, you are basically going to put a dagger through the heart of the entire American open source ecosystem. And that is exactly what Anthropic wants, because they do not want to have the competition.”

The All-In Podcast

278,276 views • 2 months ago

FOR THE FIRST TIME, THE US GOVERNMENT PULLED A PUBLICLY DEPLOYED AI MODEL OFFLINE. THE MARKET SHOULD PAY ATTENTION. 🇺🇸 On June 12, the Commerce Department ordered Anthropic to block access to its newest models, Fable 5 and Mythos 5, for any foreign national. Anthropic had to disable them for everyone to comply. The stated reason was a security concern. Anthropic disputes it, calling the flagged technique a narrow jailbreak available in other models too. Whatever the truth, here's the macro takeaway: Frontier AI now sits close enough to national security that a government can switch it off overnight. If you don't control your own models and compute, you're one directive away from losing access. That's the case for open and local models, in one headline.

FOR THE FIRST TIME, THE US GOVERNMENT PULLED A PUBLICLY DEPLOYED AI MODEL OFFLINE. THE MARKET SHOULD PAY ATTENTION. 🇺🇸 On June 12, the Commerce Department ordered Anthropic to block access to its newest models, Fable 5 and Mythos 5, for any foreign national. Anthropic had to disable them for everyone to comply. The stated reason was a security concern. Anthropic disputes it, calling the flagged technique a narrow jailbreak available in other models too. Whatever the truth, here's the macro takeaway: Frontier AI now sits close enough to national security that a government can switch it off overnight. If you don't control your own models and compute, you're one directive away from losing access. That's the case for open and local models, in one headline.

Merlijn The Trader

47,996 views • 3 months ago

nthropic says that one of its Claude models mistakenly gained access to the open internet and read someone's personal information during a cybersecurity exercise in January, marking the fourth time its models have done so. The model was told it was operating in a simulation without internet access, but due to a mistake, the environment actually left internet access open. Anthropic said it believes these incidents would not have happened had the environments actually been isolated from the internet as intended, but cybersecurity experts remain concerned about models' potential to cause harm. Lauren Fichten reports.

nthropic says that one of its Claude models mistakenly gained access to the open internet and read someone's personal information during a cybersecurity exercise in January, marking the fourth time its models have done so. The model was told it was operating in a simulation without internet access, but due to a mistake, the environment actually left internet access open. Anthropic said it believes these incidents would not have happened had the environments actually been isolated from the internet as intended, but cybersecurity experts remain concerned about models' potential to cause harm. Lauren Fichten reports.

CBS News

188,920 views • 13 days ago

Trump AI adviser David Sacks: Anthropic tried to “strong-arm the government” in its dispute with the Pentagon. “I just don't think it was a very realistic position for them to take,” he told our Dasha Burns on #TheConversation. 🎧

Trump AI adviser David Sacks: Anthropic tried to “strong-arm the government” in its dispute with the Pentagon. “I just don't think it was a very realistic position for them to take,” he told our Dasha Burns on #TheConversation. 🎧

POLITICO

16,715 views • 4 months ago

The American AI company AfterQuery AfterQuery is reportedly generating at least $50 MILLION in recurring revenue from Chinese AI labs while maintaining ties to Ant Group Ant Group and Alibaba, two major Chinese technology companies. Its CEO Spencer Mateega publicly celebrated Moonshot AI’s Kimi model for topping an AfterQuery benchmark and called the Chinese team “cracked.”Moonshot AI is a Chinese AI company based in Beijing, China American AI executives are traveling to China, hiring China engagement managers and openly praising the Chinese models competing to overtake the United States in AI dominance. How many warning signs does Washington need before it stops American AI companies from helping China overtake the United States in the AI race? David Sacks

The American AI company AfterQuery AfterQuery is reportedly generating at least $50 MILLION in recurring revenue from Chinese AI labs while maintaining ties to Ant Group Ant Group and Alibaba, two major Chinese technology companies. Its CEO Spencer Mateega publicly celebrated Moonshot AI’s Kimi model for topping an AfterQuery benchmark and called the Chinese team “cracked.”Moonshot AI is a Chinese AI company based in Beijing, China American AI executives are traveling to China, hiring China engagement managers and openly praising the Chinese models competing to overtake the United States in AI dominance. How many warning signs does Washington need before it stops American AI companies from helping China overtake the United States in the AI race? David Sacks

Laura Loomer

66,528 views • 1 month ago