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Nvidia's Huang calls AI distillation 'competition', split with Bessent

Original: Jensen Huang says AI distillation is 'competition.' Scott Bessent has called it 'theft'

Nvidia CEO Jensen Huang says AI distillation — the practice of training smaller models on the outputs of larger ones — is normal competition. Treasury Secretary Scott Bessent has previously described the same practice as 'theft', echoing claims that companies like DeepSeek built models using American AI outputs without authorisation. The exchange highlights a divide over whether model distillation is legitimate industry practice or misappropriation of US technology.

Why now: Ongoing debate over Chinese AI firms using distilled US models has made distillation a politically charged issue.

Jensen HuangScott BessentNvidiaDeepSeek

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