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Chinese AI App Sparks US National Security Concerns

A new powerful AI app developed in China is causing concerns in Washington due to its potential impact on national security, data privacy, and economic competition. US officials are closely monitoring its development

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Thomas Edward Grant
Senior correspondent, global finance & wealth trends
Last updated: 12 August 2025 (IST)

Thomas Edward Grant is a senior correspondent specialising in global finance and wealth trends. Martínez has reported for over fifteen years on migration of capital, covering Europe, the Middle East and Latin America.

The emergence of a groundbreaking artificial intelligence (AI) application developed in China has become a focal point of concern for Washington, D.C. Analysts warn that the app could alter the global balance of power and pose risks to national security. With its remarkable capabilities, the AI tool promises to reshape various industries, from surveillance and communications to data analytics. However, experts fear its potential use in espionage, unauthorized data harvesting, and economic espionage.

As the app continues to gain traction worldwide, policymakers in the U.S. are left grappling with how to address its growing influence. Some advocates suggest that China’s AI advancements are not only pushing technological boundaries but also testing the limits of international norms and data protection laws. These concerns have already sparked discussions in Congress regarding the need for new regulations to ensure that foreign technologies do not undermine U.S. interests.

Moreover, the Chinese government’s known involvement in the country’s tech ecosystem has fueled skepticism about whether this app could be used as a tool for state-sponsored surveillance. Given the complex relationship between technology and geopolitics, Washington is now in a race against time to find a way to balance security, innovation, and economic growth while dealing with this new AI threat.

This situation has placed significant pressure on both U.S. lawmakers and corporate leaders to determine how they can safeguard sensitive information and remain competitive in the rapidly advancing global tech industry. With China investing heavily in AI research and development, Washington’s strategy will likely need to evolve rapidly to keep pace with the emerging threats and challenges posed by the country’s technological ambitions.

The implications of this new AI app extend beyond national borders, influencing the geopolitical landscape and prompting a reconsideration of tech diplomacy. As the global race for AI supremacy intensifies, Washington is increasingly aware that its stance on foreign AI technologies will shape its future technological and diplomatic relationships

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