David Sachs

But

I think China definitely wants to compete.

There have been some stories recently, I think Bloomberg and Reuters reported that they actually are not allowing Nvidia chips into their country.

And the reason for that, we think, is that they want to indigenize chip production.

They want to stand up Huawei as their national champion.

And effectively, they're creating a market subsidy for Huawei by keeping out the competition.

So they're protecting their market to stand up Huawei.

And I think their plan would be to have Huawei dominate chips in China first and then use that to scale up and then try to take over the rest of the world.

Chip production is a scale-up business.

So if they can dominate the Chinese market first, that gives them a powerful platform to then proliferate to the rest of the world.

You want to weigh in?

Well, just to build on that, I think people sometimes ask, how will you know if you've won the AI race with China or with other countries?

And I think there's a very simple answer to that, which is market share.

You know, if five years we look around the world and we see that it's American chips and models are being used everywhere, well, that means we won.

But if in five years we look around the world and it's Huawei chips and deep seek models, then that would be very bad, right?

That'd be a bad sign.

That means that we lost.

So I do think that the proliferation or diffusion

of American technology is really critical to winning this race.

We know from Silicon Valley that the companies that end up becoming huge are the ones that create ecosystems.