This just made any closed LLM a huge supply chain risk. Everybody was aware of this possibility, but now it actually happened. It's like having nuclear weapons vs. firing a nuclear weapon.
Especially outside the US customers are going to be very hesitant to keep adopting LLMs from US companies.
> Especially outside the US customers are going to be very hesitant to keep adopting LLMs from US companies.
Not really. There aren't any other choices, and the PRC also heavily utilizes export controls [0].
This is why sovereign AI has become important, as can be seen with EU NatSec uses cases tending to use Mistral [1] and Indian governments starting to use Sarvam [2].
That said, for most commercial usecases, older generations of Opus as well as enterprise grade GPT and Gemini are fairly good.
The distilled OSS models are alright for hobbyists but if you have actually used unrestricted and enterprise grade versions of Claude, Mythos, GPT, and Gemini (most hobbyists don't get access to these) you see how far behind the open weight models are.
Even in China, traditionally open minded models teams like Alibaba's Qwen are looking to become more restricted given the org changes [3].
Also, Corporate RFCs now demand final say on model used and depending on the geo, this can be a dealbreaker (eg. An American financial institution will absolutely blacklist a vendor if they use a Chinese model and same in reverse and European defense vendors mandate sovereign EU models depending on the opportunity).
[0] - https://www.allbrightlaw.com/EN/10475/f9d4055e47e81afb.aspx
[1] - https://www.reuters.com/business/media-telecom/mistral-defen...
[2] - https://www.sarvam.ai/blogs/partnerships-with-indian-states
[3] - https://www.ft.com/content/b39da303-3188-447b-8b65-3dd8dad8b...
Switching between LLMs takes all of 30 seconds - there will be no hesitation to adopt whichever LLM is performing the best.