Joe Tsai

So I think the emphasis on education, I think there are some structural issues here in the United States, like the teachers' union that is getting in the way.

But there are no teachers' unions in China.

Can I respond to that?

Yeah.

I think it's really important that you as a patriotic American, you want America to win.

But I think when it comes to AI,

There's no such thing as winning the race.

I think it's a long marathon.

And, you know, you could just see by these model companies, every week there's a model that's leading, but then the next week another model overtakes them, right?

And the other thing is, AI is one of those...

uh we haven't figured out what is the business model is but in our business in e-commerce we have a marketplace model with network dynamics but i'm not sure if the development of models has those uh network effects that

That means winner-take-all, right?

So I don't think AI is a winner-take-all field.

I think what my definition of winning is not who comes up with the strongest AI model, but who can adopt it faster.

And I think people here in the United States, a lot of resources should go into adoption and diffusion of the technology as opposed to just plowing.

I mean, literally each of the hyperscaler companies, each of them is investing something like $80 billion a year.

But, you know, I think if you look at China, a couple things are going on.

Number one, China has espoused open source.

And second, a lot of the companies, including ourselves, have launched models that are smaller, you know, not the trillion parameter models, but, you know, we have a model that's 1.7 billion parameters, another that's 8 billion for, like, mobile devices and laptops.

So...