US data companies quietly sell to Chinese AI labs — a shadow market with no oversight

karinanguyen · x · 2026-11-02

More American data companies are trying to sell to Chinese AI labs, forming a shadow market with little oversight. Export controls target compute but barely address data. As post-training gets cheaper and more valuable, proprietary data becomes a strategic moat — and datasets that could accelerate cyberwarfare or defense should be treated as national security assets.

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