Regulators and national authorities worry that companies may be unwittingly exposing themselves to significant risk by adopting cheaper Chinese-made AI tools or using available “open-source” software that may also rely heavily on Chinese AI.
Governments worldwide have repeatedly raised concerns that cheaper Chinese-made AI systems and tools may pose risks to national security, cybersecurity, and data protection because the software may not meet stricter European Union (EU) or US standards, and the data entered into the system could be retained and used by Chinese authorities.

