

One way I read this in the broader sense:
Capitalists panicking: “Is socialism overtaking capitalism in both invention speed and integration to market the new normal?”
I recall from Blackshirts and Shirts (I believe that was the one) Parenti talking about how one of the issues the USSR had was that although it tended to outpace the west in invention, it had trouble at times getting that invention to a stage of mass production and distribution in a market to the same degree that capitalist-run markets would.
I get the impression CPC China has become a lot better on this than the USSR was and as a result, it enables them to both outpace in invention and integration to market. And the contrast is not only helping show how “house of cards” capitalism’s way of doing things is, it’s also genuinely threatening its ability to hold together because the capitalists no longer have hegemony in the market to be able to manipulate it as needed. With Deepseek, they seem to have treated it like an anomaly that they could contain. Now they are coming to understand that Deepseek wasn’t an anomaly. It was a tip of the iceberg representation of a shifting world order and AI is just one of the most visible areas being impacted because it’s the current prominent area of investment bubble hype that western capital is funneling its money into.
Am open to correction if this is too naively optimistic or simplistic a take on it, but that’s how it strikes me in the moment.


To add to this point, China also developed their own sovereign internet tech/base. So although the western empire can to an extent try to block China out of participation in the western internet sphere of influence, they can’t block China’s use of the internet within its own sphere of influence and the impact that has for proliferation of internet services among its own people (which is a considerable portion of the world’s population). Even in a scenario of extreme efforts to “contain” China on the internet, China made sure it has sovereign power there. And if the western empire tries very hard to prevent other countries using Chinese technology when it advances beyond that of the western influence, all they do is make it so the rest of the world is increasingly technologically behind while China is doing widespread adoption of more advanced tools among it and its closest allies.