Treasury Secretary Scott Bessent warned that sanctions and trade-limiting entity-list designations are on the table.

How to Beat China and Make AI Safe

In the past six weeks, America’s most protected artificial-intelligence model, Anthropic’s Fable 5, was jailbroken on release, temporarily switched off by a letter from the Trump administration, and dethroned on leader boards by a Chinese model, Kimi K3. Moonshot AI, K3’s maker, released the powerful model in mid-July; K3’s “weights”—the trillions of numbers that store…

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