Earlier this year, a barely known artificial-intelligence startup called DeepSeek caused a huge stir by releasing an open-source model trained for a sliver of the cost of fancier Western ones. Its breakthrough has helped shift China’s approach to AI in profound ways, for example by lowering costs and moving the emphasis towards real-world applications over cutting-edge development. Companies appear to be adopting a more can-do attitude by experimenting with the technology. Although Chinese AI development is frustrated by being denied the best foreign models, domestic open-source models are improving rapidly, says the chief technology officer of one firm that develops AI customer-service agents. But as the state and investors rush in to support the adoption of AI more broadly, there are plenty of risks by them doing so. Tap the link in our bio to find out what those are. Illustration: @licknittle