China Considers AI Export Controls, SK Hynix Eyes $28B IPO, Banks Target Payment Business | Diet TBPN

**John Coogan** (0:00)
The big news of the day is that China has taken a page out of Washington's playbook potentially, and aiming to limit the export of AI models. Now these are just meetings at this point, but Chinese authorities have reportedly, this is according to Reuters, held meetings with some of the country's top tech firms. That's Alibaba, ByteDance, ZAI, DeepSea, KiFly are not mentioned yet, but you have to imagine that they'll be in the conversation if they aren't already. About potentially restricting overseas access to China's most advanced models. So they're thinking about doing the same thing that's happening with GPT 5.6, Soul, Ultra, Mythos, Fable, all these different models that are starting to get more restricted as they get more powerful. The government wants to say in what companies and what non-governmental organizations, what governmental organizations have access to them. So the discussions are still preliminary.

**Jordi Hays** (0:54)
When did in AI 2027 did China wake up?

**John Coogan** (0:58)
Right around this time, right around this time.

**Jordi Hays** (1:01)
Mid-2026.

**John Coogan** (1:02)
I actually have on my calendar, check on Jack Clark for today.
Because last year, December 23rd, Jack Clark predicted that there would be big changes and acceleration in mid-2026. He said, so by summer of 2026, it will be as though the digital world is going through some kind of fast evolution, with some parts of it emitting a huge amount of heat and light, and moving with counterintuitive speed relative to everything else. Great fortunes will be won and lost here, and the powerful engines of our silicon creation will be put to work, further accelerating this economy and further changing things. Do you think that's where we are? Is that an accurate assessment of mid-2026? When I saw this prediction, I put a calendar reminder for mid-2026. We're right in the middle of the year, and I wanted to check in and say, does it feel like this? Obviously, this is not a quantitative benchmark. This is a qualitative feeling.
Fast evolution, emitting a huge amount of heat and light, moving with counterintuitive speed relative to everything else. Great fortunes certainly are being won and lost every day in the market. Tyler, how would you assess the amount of heat and light emitting from some parts of the digital world? Would you say it's huge?

**SPEAKER_3** (2:23)
I would say it's huge. I think it's huge. It's kind of hard. I feel like I've been very tapped in for a long time, so it's hard to say.

**John Coogan** (2:31)
Like, you've been feeling it.

**SPEAKER_3** (2:33)
It's hard to see an outside view as like, oh, is this actually like, has there been a big change recently?

**John Coogan** (2:38)
Yes. So there's two things.

**Jordi Hays** (2:40)
It's been kind of like a personal thing for you being so tapped in. Would you say that?

**John Coogan** (2:44)
So, there's, I mean, there's two things going on. One is that anyone who has...

**Jordi Hays** (2:49)
Like a personal thing for Tyler. He's been so tapped in for so long.

**John Coogan** (2:53)
No, it's true.

**SPEAKER_3** (2:55)
So much of news coming out of DC of the past like two, three months has been about AI, which is like definitely was not true even earlier this year, I would say.

**John Coogan** (3:04)
Yes. And just the amount of heat and light around cybersecurity issues, the coding models, the agentic capabilities, the revenues that we would see in enterprise, those have not been a shock to AI insiders who have been tracking the capabilities of these models since last October or even last summer when models started, when Vibe coding was coined by Andrei Karpathy, and coding became, you know, not solved, but, you know, greatly enhanced by artificial intelligence.

**Jordi Hays** (3:34)
So going back to AI 2027, which was published April 3rd, 2025 By late 2026, they had, or sorry, mid 2026 was China wakes up. In China, the CCP is starting to feel the AGI.
Export controls and lack of government support have left China under resource compared to the West. I'm going to fast forward a little bit.
Hawks and the CCP warned that the growing race towards AGI can no longer be ignored. So they finally commit to the big AI push that they had previously tried to avoid. He sets in motion the nationalization of Chinese AI research, creating an information sharing mechanism for AI companies. So right now they're just looking at export controls.

**John Coogan** (4:16)
It feels like we're a little bit behind on this.

**Jordi Hays** (4:18)
It's possible the CCP is just reading this as a guide and just implementing it. They're just planning to implement it to your teeth.