Chinese Models Erode 'Overpriced' US AI Labs as International Markets Get Harder
thedealdirector · x · 2026-09-08
A deal director analyzes the reality of "international markets" for tech companies.
- Industry norm: Some countries are extremely difficult for running profitable businesses — many companies lose money in APAC or depend on resellers who mismanage those customers.
- AI shift: There's a clear customer preference for Chinese models over "overpriced American AI labs," and this gap will widen.
- Europe: Growing harder due to the sovereignty push and broad anti-AI sentiment across the IT sector.
- Conclusion: Winning large cloud infrastructure software deals now demands far more discernment in hiring and higher quality of execution.
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