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"vital that America wins" is main reason China will win. US is only interested in Skynet/surveillance system for Israel first control over population as the customers for AI. Musk needs MechaHitler to destroy Tesla sales, and control a robot army for fascist extremist political power.
The entire vision of "America must win" is the usual militarist throwing money at oligarchs philosophy. OpenAI confidently declaring US government should guarantee its impossible loans to help it. "winning developers worldwide" = CUDA.. I don't hear Jensen saying he should share CUDA with other US firms: AMD, qualcom, apple, intel.
Oligarchs are just saying they should get all the money or China(Russia, Iran...) will win is a US governance mantra that ensures their collapse. A country on the verge of collapse is incapable of reaching Skynet. There will be a bubble in everything else, if all US wealth is thrown at Skynet oligarchy. Already, skynet ambitions is forcing high ram prices for everyone else. High electricity prices in US. Mass layoffs.
China is extremely far ahead in robotics and self driving. Their open LLM models are more useful with more global downloads than US. They are certain to win because they have energy capacity, and a manufacturing sector that is the only consumer of useful AI/robotics. They need tech advancement for survival instead of oligarchist plunder of what is still treated as unlimited money, that still mostly gets funneled through TSMC.
China has much more research/education levels. It already has all the NVIDIA gpus it wants through black market at prices equal to US, and it packages about half of NVIDIA gpus.
Where AI can help a human/business user help humanity boost production/productivity, Chinese research efforts will help. Skynet will just destroy and extort humanity for those who control AI to control humanity. It is naturally less trustworthy to rely on the openly evil, than on open models.