Has the AI race shifted from U.S. vs China to open vs closed?

U.S. export controls on China’s access to advanced AI hardware spurred Chinese AI labs to innovate with more efficient open-source models that challenge closed Western systems on cost and performance. The competition is shifting from a U.S.-China rivalry to a battle between open and closed AI models, influencing regulatory, business, and collaborative dynamics globally.

This Wire brief sits within Fusion42's coverage of AI & ML, and 11 sources have reported it between 18 Jul 2026 and 5 Aug 2026.