Chinese AI startups are stepping up challenges to OpenAI and Anthropic, with models such as DeepSeek V4, Z.ai’s GLM 5.2 and Moonshot AI’s upcoming open-source Kimi K3 drawing attention. The Kimi K3 announcement coincided with sharp falls in U.S.-listed chip and AI infrastructure-related shares, including Nvidia and Micron. The moves have fuelled questions over whether demand for expensive AI hardware will meet expectations as efficient, open-source Chinese models gain share.

Google has restricted usage of its Gemini AI model, and some Meta AI projects that rely on it have been halted or delayed, reports said. The disruption began around March and is still affecting some work as of late June, as Google could not provide enough computing resources to meet Meta’s demand. Meta has also pushed to cut AI operating costs and urged employees to use AI tokens more efficiently. The case underscores growing competition for computing infrastructure.