> Even tightly regulated industries with security concerns can use the latest deepseek.

That is not necessarily true, as "tightly regulated industries with security concerns" are also afraid of deepseek models generating vulnerable code. Even a possibility of that prevents those industries from deployments.

> That doesn't benefit china directly but it does serve to further undermine the lead that the american frontier labs have which limits their future ability to cut geopolitical adversaries off.

So, basically, competition is bad for US models? That argument doesn't address open-weights. And it doesn't work the other way around, because in that case China should be releasing close-weights instead.