As the US weighs restrictions on cloud computing, how will China’s AI sector adapt?

When Chinese artificial intelligence developers want to train their next-generation frontier models, they all face the same daunting wall: they cannot legally buy the world’s most powerful AI chips. However, the country’s tech giants and start-ups have still managed to quietly keep pace with global rivals. Their secret is an elusive workaround: moving heavy training workloads across borders through the cloud. By setting up proxy entities in foreign jurisdictions, domestic firms have for years...