US alleges model theft

- The White House's OSTP accused Chinese groups of industrial‑scale “distillation” to extract and copy U.S. AI models, naming companies like DeepSeek, Moonshot and MiniMax and alleging proxy networks. - OSTP says these actors allegedly used 10k–24k+ proxy accounts and ran more than 16 million queries against Claude and OpenAI APIs to harvest model capabilities for cheap knockoffs. - Washington warns of sanctions and new entity lists ahead of Xi talks, framing distillation as a strategic threat to U.S. tech leadership. (x.com 1) (x.com 2)