After ‘erasing’ America’s AI lead, China’s Kimi K3 AI model discovers its problems are no different from American AI models ChatGPT and Claude; says: We are temporarily pausing…

China’s Moonshot AI spent the past week being the most talked-about name in artificial intelligence. Its new open model, Kimi K3, beat Anthropic’s Fable 5 in front-end coding tests, rattled the Nasdaq, and had Silicon Valley executives arguing about whether China had just erased America’s lead overnight. For a Beijing startup backed by Alibaba and Tencent, it was the kind of moment most AI labs spend years chasing.

Then reality arrived in the form of a bill nobody could pay fast enough—compute.