Latest / Turley Talks / Ep. 4091 No One Is Talking About What China JUST DID With AI!!!

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Ep. 4091 No One Is Talking About What China JUST DID With AI!!! · Turley Talks

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  [SPEAKER_00]: The liberal globalist order is on its brink and awakening a new conservative age.
• 0:06
  [SPEAKER_00]: Dr. Steve Turley, join me every day as we discover answers to today's toughest challenges and explore the re-bondalization of conservative civilization.
• 0:18
  [SPEAKER_00]: This is Turley Talks.
• 0:21
  [SPEAKER_00]: something astonishing, just happened halfway around the world that sending shockwaves across the entire planet.
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  [SPEAKER_00]: China just released something so startling that it wiped trillions from the global financial market in the matter of minutes.
• 0:35
  [SPEAKER_00]: And it reopened a question that a lot of people thought was settled.
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  [SPEAKER_00]: Who actually controls the future of intelligence itself?
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  [SPEAKER_00]: And who will ultimately control the world as a result?
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  [SPEAKER_00]: Hey, gang, it's me, Dr. Steve, your patron professor here to help you make sense of the madness with breaking news and analysis from all over the world that you're not going to get anywhere else.
• 1:01
  [SPEAKER_00]: So you know to do make sure to smack that bell and subscribe button.
• 1:05
  [SPEAKER_00]: On July 16th, a Beijing-based AI startup called Moon Shot AI released a new model called
• 1:17
  [SPEAKER_00]: It was beating some of the America's most advanced AI systems, including Anthropics Opus 4.8, OpenAI's GPT 5.6, in head to head coding tests run by independent evaluators.
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  [SPEAKER_00]: Coding tests are the benchmarks where an AI is given real programming tasks, like writing, debugging,
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  [SPEAKER_00]: fixing mistakes in a computer code building software and the like, and that's how an AI is basically judge.
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  [SPEAKER_00]: And as it turns out, this new Chinese AI K3, Kimmy K3, beat comparable American models like Opus and ChatGPT.
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  [SPEAKER_00]: In fact, developers who blind tested the models overwhelmingly preferred Kimmy's output over the American competition.
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  [SPEAKER_00]: Then on July 27,
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  [SPEAKER_00]: They released the entire model for free to the entire world, not just access to use it through an app, but the actual what are called underlying weights of the AI, weights of the millions of tiny numerical settings inside an AI that were fine-tuned during training to determine how it responds, right?
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  [SPEAKER_00]: There are essentially the AI's brain, quote-unquote,
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  [SPEAKER_00]: encoded as numbers, so having the weights means you have the actual finished intelligence itself, not just access to it through an app.
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  [SPEAKER_00]: So Moonshot essentially gave the world the full blueprint of how their AI thinks.
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  [SPEAKER_00]: For anyone on Earth to download and spec modify and run on their own machines.
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  [SPEAKER_00]: That made Kimmy K3, the largest what's called open-weight AI model ever released in human history built on 2.8 trillion parameters.
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  [SPEAKER_00]: It's nearly 3 trillion individual adjustable settings that shape how
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  [SPEAKER_00]: k3 quote unquote thinks right and response away if thinking about it is the more parameters the more brain cells the a high the a i has to draw on which generally makes it more capable so to put that to point eight trillion parameters in perspective it's closest open Chinese rival
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  [SPEAKER_00]: that had about 1.6 trillion.
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  [SPEAKER_00]: So this is this is nearly doubled that.
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  [SPEAKER_00]: And the irony is that American AI companies don't reveal their parameter numbers.
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  [SPEAKER_00]: So we don't actually know what the brain cell capacities of opus and GPT actually are.
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  [SPEAKER_00]: It's rather stunning that China's more transparent here than our own AI companies.
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  [SPEAKER_00]: Regardless,
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  [SPEAKER_00]: The news of K-3's capabilities triggered cell-offs and chips stocks on both NASDAQ and Tokyo's Nikai.
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  [SPEAKER_00]: There were actually reports that K-3 wiped out $3 trillion from the semi-conductor market, the specialized chips that provide the raw computing power AI systems need to think and run.
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  [SPEAKER_00]: the logic is simple.
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  [SPEAKER_00]: If the Chinese model can rival America's best using cheaper, more efficient methods, it raises fears that global demand for the most expensive high-end chips and the massive profits built around them may not grow as fast as investors had expected.
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  [SPEAKER_00]: And again, what's so ironic here?
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  [SPEAKER_00]: is that processing chips were key to America's strategy to stay ahead of China in the AI arms race.
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  [SPEAKER_00]: And the strategy was simple.
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  [SPEAKER_00]: Three, it built on three things.
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  [SPEAKER_00]: First, block Beijing from getting the most advanced AI chips.
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  [SPEAKER_00]: second block the equipment needed to make those chips from ever getting into China and then third poor billions into rebuilding chip manufacturing on American soil.
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  [SPEAKER_00]: So the assumption was that if America controlled the world's best processors, the AI chips, it controlled the AI race period and that's because processors are basically the engine of AI AI doesn't run without chips.
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  [SPEAKER_00]: There was a blind spot here.
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  [SPEAKER_00]: and that blind spot involved memory.
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  [SPEAKER_00]: Now, memory chips are the components inside a computer or phone that temporarily stores data.
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  [SPEAKER_00]: So the processor can quickly access and work with it.
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  [SPEAKER_00]: Again, think of it like a fuel tank.
• 5:38
  [SPEAKER_00]: that feeds the engine without enough memory, even the fastest process or has nothing to work with and it can't function properly.
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  [SPEAKER_00]: As the AI boom exploded, demand for premium AI memory got so intense that companies like Samsung and Micron, they shifted production away from every day memory, the kind of goes into our phones and our laptops, our cars.
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  [SPEAKER_00]: toward the far more profitable AI grade memory.
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  [SPEAKER_00]: And that's sent prices for ordinary memory chips, soaring to some of the highest levels have a recorded enter China.
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  [SPEAKER_00]: China has been quietly building dominance in memory.
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  [SPEAKER_00]: So as American companies were outpricing memory chips, a Chinese company, CXMT, took over the affordable memory market.
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  [SPEAKER_00]: They went from controlling about 4% of the global memory market about a year ago to become now the world's fourth largest memory manufacturer today.
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  [SPEAKER_00]: And revenue, they're revenue went up 700% in the single year.
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  [SPEAKER_00]: It's astonishing.
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  [SPEAKER_00]: Talk about a market trend.
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  [SPEAKER_00]: And what it's done is it's forced America's own crown jewel apple to reportedly ask Washington for permission to buy memory chips from Chinese companies that the Pentagon had already blacklisted because buying it from our own companies is so darn expensive.
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  [SPEAKER_00]: And so the AI boom is dragging American companies right back toward the very Chinese supplier.
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  [SPEAKER_00]: They were trying to escape.
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  [SPEAKER_00]: That's not a chip story.
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  [SPEAKER_00]: That's a leverage story.
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  [SPEAKER_00]: China figured out that it doesn't need to outbuild America's best AI.
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  [SPEAKER_00]: It just needs to make it itself impossible to avoid with the cheapest and most accessible memory chips that AI is dependent on.
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  [SPEAKER_00]: So by cornering the affordable memory chip supply, that every AI system depends on the function, China quietly built the leverage, and the infrastructure that let a model like
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  [SPEAKER_00]: to America's best, proving that controlling the fuel tank of memory can matter just as much as controlling the engine of chips and processors in the race for AI supremacy.
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  [SPEAKER_00]: But there's something even bigger going on here.
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  [SPEAKER_00]: This isn't a mere text story.
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  [SPEAKER_00]: It's not just about K3.
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  [SPEAKER_00]: What we're seeing is something far more titanic than anything anyone is talking about until now.
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  [SPEAKER_00]: Hey gang, if you love books and you've ever seriously looked into making money from home, and I mean, actually look, not just wondered about it, this is for you because right now today, there are people pulling five, 10, even $15,000 a month out of a $30 billion market, you've walked past your entire life without a second thought.
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  [SPEAKER_00]: I'm talking about used books and the only reason they can do it is a pricing gap sitting right in the middle of that market real documented and almost nobody's looking at it.
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  [SPEAKER_00]: Here's the gap.
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  [SPEAKER_00]: The same book, same title, same edition, same condition.
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  [SPEAKER_00]: The same book is worth meaningfully different amounts depending on where it's listed online.
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  [SPEAKER_00]: That's it.
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  [SPEAKER_00]: That's the whole thing.
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  [SPEAKER_00]: And people with no finance background, no tech background, learn to spot it, act on it, and from a laptop at the kitchen table, profit from it.
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  [SPEAKER_00]: Now, here's the part that got me.
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  [SPEAKER_00]: You never actually handle a single book, not one, no inventory in the garage, no packing tape, no trips to the post office, no physical logistics whatsoever.
• 9:35
  [SPEAKER_00]: The whole thing runs in your browser.
• 9:39
  [SPEAKER_00]: You find the opportunity, you make a few clicks, and somebody else handles the fulfillment completely.
• 9:47
  [SPEAKER_00]: And this is not a side hustle to pad the grocery budget.
• 9:50
  [SPEAKER_00]: You heard the numbers like, people are running this full time.
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  [SPEAKER_00]: A number of them walked away from jobs.
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  [SPEAKER_00]: They never even liked.
• 9:57
  [SPEAKER_00]: So I'm hosting a free training where my special guest is going to lay out the entire system, how the gap forms, how you find it, exactly what you do the moment.
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  [SPEAKER_00]: You got one in front of you, start to finish, no theory, no filler, go to BKprofit.com slash
• 10:19
  [SPEAKER_00]: dot com slash to earlier just click the link below type it into your browser or scan the QR code on your screen and reserve your free seat right now.
• 10:29
  [SPEAKER_00]: Now, if you don't mind the shameless plug here, but my latest book, Civ Cosm, Gods, Algorithms, and the rise of a civilization called democracy, reveals the big picture of what's really going on here with K3.
• 10:44
  [SPEAKER_00]: The core thesis of the book is actually just very simple.
• 10:47
  [SPEAKER_00]: Civilizations don't just build technology, they reveal their soul through it.
• 10:54
  [SPEAKER_00]: In the rise of civilization states around the world, Russia, China, India, the United States,
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  [SPEAKER_00]: technology has become the chief means by which that renewed civilization both extends and demonstrates its power.
• 11:08
  [SPEAKER_00]: What a civilization chooses to build, how it distributes its tone, power, and what story it tells about the human person and the cosmos all gets encoded in its customs, its architecture, its institutions, and yes, its technology.
• 11:26
  [SPEAKER_00]: Every civilization in history is used its most advanced technology as a demonstration of its own conception of order as proof to the world of what it believes about power, hierarchy in the human person, Rome built roads and aqueducts to project the order of empire, medieval Christendom built cathedrals that reached toward the heavens as a statement about what and who sits at the very center of reality, the Enlightenment built printing
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  [SPEAKER_00]: later electrical grids to declare that light and knowledge belonged to the common man not just to kings and priests, and AI is now the new technology that the world reawaken civilizations are using to extend their own
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  [SPEAKER_00]: unique cosmic visions in new and unprecedented ways around the world.
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  [SPEAKER_00]: Think of AI as the cathedral of our era.
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  [SPEAKER_00]: It's the technology through which civilizations are now declaring in real time what kind of order
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  [SPEAKER_00]: they tend to impose on the or they intend to impose on the world through their own cyber civilization.
• 12:33
  [SPEAKER_00]: What's fascinating here, frankly, a little unsettling about what Beijing just did with Kimi K3 is the strategic logic behind giving it away for free.
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  [SPEAKER_00]: Make no mistake.
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  [SPEAKER_00]: As I'm sure
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  [SPEAKER_00]: A one-party, centrally planned state that rigorously controls information domestically is simultaneously flooding the entire developing world with a sovereign, self-hostible intelligence that nations can run without ever touching American infrastructure.
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  [SPEAKER_00]: American oversight, or, and this is key, American values embedded in our own systems.
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  [SPEAKER_00]: This is a soft power maneuver as old as the silk robe just wearing a 2.8 trillion parameter mask.
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  [SPEAKER_00]: Meanwhile, the American aim I model.
• 13:31
  [SPEAKER_00]: That's been built on a different civilizational premise entirely, competitive, profit-driven, closed-source market base, a reflection of the West's own inherited commitment to private enterprise and the rule of law.
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  [SPEAKER_00]: Both systems are in a very real sense downstream expressions of much older civilizational commitments
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  [SPEAKER_00]: Now, the good news is that American AI still has the edge.
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  [SPEAKER_00]: We have not lost the AI race as so many in the lying, legacy, meteor, claiming as of today.
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  [SPEAKER_00]: American AI still leads at the very frontier of raw capability with closed models like Claude's, Fable Five, and GPT 5.6 outperforming Kimmy K3 on independent benchmarks.
• 14:21
  [SPEAKER_00]: America likely retains deeper underlying technological advantages, given that accusations at Chinese labs train their models partly by distilling outposts from those same superior American systems.
• 14:36
  [SPEAKER_00]: In other words, the Chinese models are parasitic of American models.
• 14:40
  [SPEAKER_00]: Not to mention the problem, the trust that plagues Chinese AI models around the world.
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  [SPEAKER_00]: But that's said.
• 14:47
  [SPEAKER_00]: When we watch the AI race unfold here, when we see chip export bands and smuggling networks and trillion parameter models and billion dollar data centers, we're not just watching a business competition.
• 15:05
  [SPEAKER_00]: We're watching two civilizations,
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  [SPEAKER_00]: built on two fundamentally different cosmic visions of the human person, race to encode their vision into the very substrate of global intelligence and whoever wins that race doesn't just win a market.
• 15:24
  [SPEAKER_00]: They get to shape what billions of people around the world experience as truth, as help, and as authority for the next generation, and beyond.
• 15:33
  [SPEAKER_00]: That's the real stakes behind Kimi K3.
• 15:37
  [SPEAKER_00]: That's not just a chatbot.
• 15:39
  [SPEAKER_00]: It's a civilizational signal flare.
• 15:42
  [SPEAKER_00]: So what do you guys think?
• 15:44
  [SPEAKER_00]: Let me know in the comments below and make sure to click on the link below and get your copy of my brand new book, Civ Cosm.
• 15:50
  [SPEAKER_00]: God's algorithms and the rise of a civilizational Cosmocracy.
• 15:55
  [SPEAKER_00]: You're going to absolutely love it.
• 15:56
  [SPEAKER_00]: And I love you.
• 15:57
  [SPEAKER_00]: God bless.
• 15:59
  [SPEAKER_00]: Thanks so much for listening to this episode of The Turley Talks Podcast.
• 16:03
  [SPEAKER_00]: Don't forget to subscribe, leave us a five-star review, and share this episode with your friends.
• 16:08
  [SPEAKER_00]: Help us defeat the fake news media and rank us the number one news and commentary podcast all over the world.
• 16:15
  [SPEAKER_00]: Come back again tomorrow for another episode celebrating the rise of a new conservative age.