Nvidia, Microsoft, Meta, Palantir, and over 20 other companies sent a letter to policymakers Friday, urging them not to impose “premature restrictions” on open-weight artificial intelligence models. They argued that such limits would “stifle competition or drive innovation overseas,” pushing development out of the U.S. The letter marks a coordinated pushback as Washington debates how to handle powerful AI systems that anyone can download, modify, and run on their own hardware.

The debate has intensified as Chinese open-weight models, like Moonshot AI’s Kimi K3, beat American offerings on some industry benchmarks. Treasury Secretary Scott Bessent said Tuesday the Trump administration would investigate possible IP theft by Chinese firms and could impose sanctions. But the tech group warned against sweeping bans, writing that open-weight models ensure the technology’s benefits are “broadly shared rather than concentrated in a few hands.” They also pushed back on the idea that closed models are safer, noting they “can be breached, misused, or fail in ways that outsiders cannot detect.”

OpenAI and Anthropic did not sign the letter. Both are nearing massive IPOs and have faced scrutiny over their closed, proprietary models. OpenAI’s Greg Brockman said Thursday he believes in broad access and hasn’t discussed banning Chinese models with the administration. Meanwhile, White House advisor Michael Kratsios accused Moonshot AI of using “distillation” to copy Anthropic’s tech. The tech group countered that concerns about unlawful distillation should be handled through “targeted legal and commercial frameworks,” not “sweeping restrictions” that could hamper innovation.

Source: CNBC