China's AI Surges Ahead: A Challenge for the West

A recent commentary by the Neue Zürcher Zeitung highlights the rapid development of Deepseek, which is gaining global attention not only for its remarkable speed but also for its open-source strategy. This emergence presents an unprecedented challenge for Europe and America. The piece titled "China's AI Surging Ahead" states, "The primary users of the Deepseek large language model (LLM) may well be the Chinese government, reflecting the complicated relationship between the state and tech companies. On one hand, Beijing's stringent regulatory environment towards tech giants like Tencent, Baidu, and Alibaba reveals a concern about losing control over information and the pitfalls of 'data monopolies.' On the other hand, the government also seeks to leverage the capabilities of private enterprises to modernize public services and surveillance systems, while fostering innovation and economic growth. Deepseek's decision to open-source its software, ensuring code transparency and free usage, has fundamentally altered this status quo.
Local governments in China are adopting artificial intelligence at an unprecedented pace. According to China Daily, within a month of the release of the Deepseek-R1 model, over twelve provincial governments have announced plans to incorporate it into administrative services. Currently, over seventy government agencies are employing AI in practical applications. The trend of integrating AI into governance is particularly prominent in Shenzhen, China's innovation hub. The Shenzhen municipal government has deployed approximately seventy AI 'digital employees' based on Deepseek technology. These autonomous robots can handle citizen inquiries, draft government documents, and generate administrative notices.
Other major cities, such as Guangzhou and Nanjing, have also launched new AI applications in recent weeks. Chinese media have described Deepseek's approach as fostering a 'great leap forward' in the digitization of the national machinery. There is a palpable enthusiasm for innovation across various localities. The localization of open-source AI models is indeed attractive to local governments, allowing for secure code inspection and retraining with local data, thus reducing dependence on commercial entities. These transparent, adjustable, and cost-effective solutions help governments break free from reliance on expensive 'black-box' commercial models.
The piece from Neue Zürcher Zeitung stresses that as AI becomes increasingly integrated into Chinese governance processes, achieving a level of synergy with politics that no other private enterprise in China has reached before. Meanwhile, Deepseek's open-source philosophy is laying a new foundation for discussions around AI in China. The day when AI plays a vital role in public policy-making, social services, and urban management may arrive sooner than anticipated. Thus, a strong 'open-source model' is forming in China, competing with America's platform-based AI models. Amid Trump's return to the White House and significant reductions in the U.S. administrative system, some even critique that American AI is becoming 'fascist.' According to the latest analysis from Sinolytics, the open-source intelligence ecosystem in China will become unavoidable for international companies operating in China. European local administrative systems should fully recognize the Deepseek revolution. In China, an open-source ecosystem is rapidly taking shape, and software that is open-source is precisely what Europe has long advocated.
As Deepseek and other Chinese AI companies unleash robust export potential along the 'Digital Silk Road,' large language models from China are becoming increasingly important in the geopolitical competition between China and the U.S. In contrast, Europe appears to be lagging behind in this digital race. The potential stakes of open-source software strategies in Brussels are full of uncertainties and may become an urgent issue affecting competitiveness. Amid rising tensions in the Middle East, a commentary from another publication notes that U.S. President Trump has repeatedly stated that American troops were not involved in Israeli attacks against Iran. Negotiations with Tehran will continue, but the reality is that he has had to accept the pace of war set by Israel. In this escalating geopolitical game, it is Russia and China that stand to benefit.
Trump is still seeking possible avenues to return to the negotiating table. Previously, Iranian authorities adopted a hardline stance during negotiations with the U.S., which has proven to be a miscalculation. Now, facing sudden attacks from Israel and mounting losses, the Iranian regime has been significantly weakened. However, whether this enduring regime in Tehran is willing to revisit U.S. negotiation proposals at this moment—potentially allowing Netanyahu to pause military actions—remains uncertain. In contrast, it is certain that Russia and China are benefiting from this conflict. President Putin has actively offered to mediate between Iran and Israel. He is pleased with rising oil prices and welcomes the diversion of U.S. anti-drone systems from Ukraine to the Middle East. What President Xi Jinping is likely pleased about is that America's attention and military strength are further diverted by conflicts in the Middle East, thereby solidifying China's stance in the Indo-Pacific region. Simultaneously, China is positioning itself as a peace mediator through initiatives like the 'International Mediation Organization' established in Hong Kong, enhancing its appeal as a stabilizing force globally. Many non-Western nations are increasingly viewing Beijing as a safeguard for global stability, rather than the chaotic U.S. under Trump's leadership.