WEBVTT

1
00:00:00.080 --> 00:00:03.240
<v Speaker 1>Hey listeners, ting here your bite size expert and all

2
00:00:03.279 --> 00:00:06.240
<v Speaker 1>things China's cyber and hacking coming to you straight from

3
00:00:06.240 --> 00:00:10.080
<v Speaker 1>the epic center of Beijing Bites. It's August eighth, twenty

4
00:00:10.119 --> 00:00:12.560
<v Speaker 1>twenty five, and let me tell you the US China

5
00:00:12.599 --> 00:00:15.240
<v Speaker 1>tech war has been moving faster than a zero day

6
00:00:15.240 --> 00:00:19.079
<v Speaker 1>exploit on a Friday night. First, let's talk hacking drama.

7
00:00:19.519 --> 00:00:22.879
<v Speaker 1>The US National Nuclear Security Administration got a not so

8
00:00:23.039 --> 00:00:25.600
<v Speaker 1>friendly knock on its door from a China backed hacker

9
00:00:25.719 --> 00:00:28.920
<v Speaker 1>last month. Not your run of the mill ransomware, but

10
00:00:29.000 --> 00:00:33.640
<v Speaker 1>a targeted cyber attack, highlighting once again that digital hygiene

11
00:00:33.640 --> 00:00:37.719
<v Speaker 1>at nuclear agencies isn't just a suggestion, it's a survival skill.

12
00:00:38.159 --> 00:00:41.320
<v Speaker 1>And while the US federal judiciary tries patching up its

13
00:00:41.320 --> 00:00:45.880
<v Speaker 1>own infrastructure after cascading cyber attacks exposed sensitive case data

14
00:00:45.960 --> 00:00:49.719
<v Speaker 1>coast to coast, Microsoft sitting high as a four trillion

15
00:00:49.759 --> 00:00:54.799
<v Speaker 1>dollars monster, revealed two fresh vulnerabilities this week. Roger Cressey,

16
00:00:55.159 --> 00:00:58.359
<v Speaker 1>ex White House cyber maven, summed up what's probably on

17
00:00:58.439 --> 00:01:03.679
<v Speaker 1>every American sisadmin's mind. Microsoft's security woes make China's hackers

18
00:01:03.719 --> 00:01:08.400
<v Speaker 1>feel right at home. Now, onto those infamous chips. Both

19
00:01:08.439 --> 00:01:13.439
<v Speaker 1>silicon and policy. The Department of Justice just charged Chuan

20
00:01:13.519 --> 00:01:18.439
<v Speaker 1>Gang and Shiwei Yang, two Chinese nationals, with exporting Nvidia's

21
00:01:18.439 --> 00:01:22.040
<v Speaker 1>hone one hundred AI chips to China bypassing all the

22
00:01:22.120 --> 00:01:26.959
<v Speaker 1>necessary licenses. That's the hardware, every mega language model, think

23
00:01:27.079 --> 00:01:33.319
<v Speaker 1>GPT four and China's own upstarts craves. Meanwhile, Taiwan detained

24
00:01:33.359 --> 00:01:38.400
<v Speaker 1>three for swiping trade secrets from TSMC. Nobody's named names yet,

25
00:01:38.640 --> 00:01:42.400
<v Speaker 1>but you can bet every engineer has triple checked their NDAs.

26
00:01:43.799 --> 00:01:47.799
<v Speaker 1>ENVID CEO Jensen one is sounding the alarm about America

27
00:01:47.879 --> 00:01:51.560
<v Speaker 1>needing an energy policy and warning about Huawei, which is

28
00:01:51.599 --> 00:01:54.640
<v Speaker 1>now shooking its own nine hundred ten z AI chips

29
00:01:54.959 --> 00:01:59.319
<v Speaker 1>set to rival in Vidia's best over. In Congress, things

30
00:01:59.359 --> 00:02:04.040
<v Speaker 1>are anything but quiet. Top Senate Democrats are absolutely fuming

31
00:02:04.079 --> 00:02:07.959
<v Speaker 1>over the Trump administration's move to loosen restrictions and let

32
00:02:08.000 --> 00:02:11.520
<v Speaker 1>AI chips flow to China again. They argue it's like

33
00:02:11.599 --> 00:02:15.680
<v Speaker 1>giving Beijing a turbo boost for their AI ambitions. On

34
00:02:15.719 --> 00:02:18.960
<v Speaker 1>the other hand, private US industry is loving the new

35
00:02:19.000 --> 00:02:23.479
<v Speaker 1>AI regulatory sandboxes, because who doesn't want to test bleeding

36
00:02:23.560 --> 00:02:28.080
<v Speaker 1>edge products without pesky oversight. Mince reports that while Congress

37
00:02:28.080 --> 00:02:32.039
<v Speaker 1>fights over export controls. Wall Street's already placing bets on

38
00:02:32.080 --> 00:02:35.840
<v Speaker 1>the next AI unicorn. Trump just threw a one hundred

39
00:02:35.879 --> 00:02:39.039
<v Speaker 1>percent chip tariff into the mix. That's tough love for

40
00:02:39.159 --> 00:02:43.039
<v Speaker 1>Chinese chip makers like SMIC, which is hustling to build

41
00:02:43.039 --> 00:02:46.759
<v Speaker 1>out supply habs in Vietnam and Germany while watching revenue

42
00:02:46.800 --> 00:02:50.680
<v Speaker 1>climb but net income sink thanks to costly US curbs.

43
00:02:51.120 --> 00:02:55.840
<v Speaker 1>TSMC meanwhile is racking up subsidies and cashing in, proving

44
00:02:55.879 --> 00:02:59.719
<v Speaker 1>the safest chip bet is to align with Washington Energy

45
00:02:59.759 --> 00:03:02.599
<v Speaker 1>store Oridge also got hit with new FEO C rules.

46
00:03:03.039 --> 00:03:06.080
<v Speaker 1>If you're a US company using too much Chinese tech,

47
00:03:06.479 --> 00:03:09.599
<v Speaker 1>forget about tax credits for your shiny new power plant

48
00:03:09.719 --> 00:03:14.240
<v Speaker 1>or battery farm. Norton rose Fulbright's breakdown says these rules

49
00:03:14.240 --> 00:03:17.520
<v Speaker 1>are designed to force everyone to buy local or pay

50
00:03:17.599 --> 00:03:22.120
<v Speaker 1>hefty penalties. By twenty thirty, developers will need seventy five

51
00:03:22.159 --> 00:03:26.759
<v Speaker 1>percent of costs sourced from trusted countries, not China. As

52
00:03:26.759 --> 00:03:30.599
<v Speaker 1>Shanghai veils new data centers for AI and ten Cent

53
00:03:30.680 --> 00:03:35.919
<v Speaker 1>showcases more smart agents than gamer avatars, the strategic landscape shifts.

54
00:03:36.879 --> 00:03:40.520
<v Speaker 1>Experts like Jeffrey Hinton and Eric Schmidt. At way I

55
00:03:40.599 --> 00:03:44.719
<v Speaker 1>see call for U S China AI collaboration, though let's

56
00:03:44.759 --> 00:03:47.960
<v Speaker 1>be honest, the handshake across the Pacific is more a

57
00:03:48.000 --> 00:03:52.360
<v Speaker 1>thumb more than a bear hug. Looking ahead, industry leaders

58
00:03:52.400 --> 00:03:55.599
<v Speaker 1>predict China will snag fifty five percent of its domestic

59
00:03:55.639 --> 00:04:00.120
<v Speaker 1>AI market by twenty twenty seven, tariffs or not. For

60
00:04:00.159 --> 00:04:03.919
<v Speaker 1>the US, expect tighter policies and a tough balancing act

61
00:04:04.159 --> 00:04:09.719
<v Speaker 1>between innovation and national security. The next phase more hacks,

62
00:04:10.039 --> 00:04:14.840
<v Speaker 1>more chips, and maybe just maybe a few moments of cooperation.

63
00:04:15.520 --> 00:04:18.920
<v Speaker 1>Thanks for tuning in to Baging Bytes US China Tech

64
00:04:19.000 --> 00:04:22.439
<v Speaker 1>or updates. Don't forget to subscribe for your weekly dose

65
00:04:22.439 --> 00:04:25.839
<v Speaker 1>of cyber drama and strategy. This has been a quiet

66
00:04:25.879 --> 00:04:29.319
<v Speaker 1>please production. For more, check out quiet Pleas dot Ai