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Eric Schmidt, former CEO of Google, warns that countries may adopt Chinese models of artificial intelligence due to lower costs, to the detriment of those in the USA.

Radu Burcă
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12 November 2025, 12:24
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Eric Schmidt, the former CEO of Google, expressed concerns regarding the tendency of countries to adopt Chinese models of artificial intelligence (AI) due to the significantly lower costs associated with them. In an episode of the Moonshots podcast, he emphasized that AI models in the US are generally closed-source and expensive, while those in China are open source and free. Schmidt argued that most governments lacking the financial resources of the West will be tempted to use Chinese solutions, not necessarily because they are superior, but because they are accessible.

Discussions about the concept of "sovereign AI" have gained popularity, highlighting the importance of national control over AI technologies. Schmidt, who led Google from 2001 to 2015, mentioned that open-source models allow for rapid and democratic development, but also raise issues related to privacy and security. In this context, leaders in the tech field, such as Jensen Huang from Nvidia, have emphasized the need for nations to develop their own AI systems to avoid dependence on other countries.

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Eric Schmidt said he worries that most governments will use Chinese AI models
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Google’s ex-CEO Eric Schmidt warns US could lose AI race to China: We believed both countries were competing on equal footing but...

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