Polsia AI CEO Ben Cera‘s argued that China is releasing state-of-the-art open-source (SOTA) AI models in the U.S., like GLM-5.2, that perform nearly as well as leading frontier models at a fraction of the cost, making it hard for companies to justify spending $100 million when similar capabilities may be available for around $5 million.
In an X post on Tuesday, he cautioned that this would force enterprises to slash AI spending from millions to fractions, collapsing OpenAI and Anthropic valuations.
“China will crash the US stock market this year,” he wrote, while adding, “The bubble isn’t AI. It’s the price of AI. And it’s about to pop.”
“Google has an infinite war chest. they’ll be fine,” he stated.
However, Futurum Group CEO Daniel Newman dismissed the prevailing notion that U.S. enterprises are going to increasingly favor Chinese open-source models over frontier labs like OpenAI or Anthropic.
In an X post on Monday, Newman stated, “This whole U.S. enterprises are going to use Chinese open source models instead of frontier labs narrative is an absolute heaping pile of ***.”
Why Chinese AI Models Are Gaining
Founded in 2019, Zhipu AI is one of China’s leading AI startups developing large language models to reduce reliance on U.S. technology. Although it was added to the U.S. Commerce Department’s Entity List in January 2025 over alleged support for China’s military AI efforts, OpenAI said that the company made significant global progress by providing AI infrastructure to governments.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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