Teresa Carlson: China’s Been Stealing Our Data for Decades

BARTIROMO Welcome back Breaking ░░░░░░░░ this morning Open AI ░░░░░░░░ it found evidence that ░░░░░░░░ s new AI model ░░░░░░░░ used the company s ░░░░░░░░ model to train the ░░░░░░░░ source competitor The company ░░░░░░░░ the Financial Times it ░░░░░░░░ seen evidence of distillation ░░░░░░░░ it suspects to be ░░░░░░░░ DeepSeek U S officials ░░░░░░░░ now looking at the ░░░░░░░░ security implications of DeepSeek ░░░░░░░░ whether intellectual property theft ░░░░░░░░ involved as the CCP ░░░░░░░░ been stealing intellectual property ░░░░░░░░ America for decades This ░░░░░░░░ DeepSeek s terms of ░░░░░░░░ show it collects and ░░░░░░░░ user data in China ░░░░░░░░ similar national security concerns ░░░░░░░░ to the congressional crackdown ░░░░░░░░ TikTok China s Alibaba ░░░░░░░░ is also releasing a ░░░░░░░░ version of its artificial ░░░░░░░░ model this morning claiming ░░░░░░░░ it outperforms competitors such ░░░░░░░░ DeepSeek and Chat GPT ░░░░░░░░ me now is the ░░░░░░░░ of General Catalyst Institute ░░░░░░░░ Carlson General Catalyst is ░░░░░░░░ global investment and transformation ░░░░░░░░ which partners with ambitious ░░░░░░░░ to drive resilience and ░░░░░░░░ AI Teresa great to ░░░░░░░░ you Carlson Good morning ░░░░░░░░ Thanks for having me ░░░░░░░░ Well you certainly have ░░░░░░░░ so much in your ░░░░░░░░ leading technology groups throughout ░░░░░░░░ career First I want ░░░░░░░░ get your take on ░░░░░░░░ And now China claims ░░░░░░░░ Alibaba can also outperform ░░░░░░░░ Carlson I love the ░░░░░░░░ here BARTIROMO Yeah Laughter ░░░░░░░░ It s like they ░░░░░░░░ all like here crosstalk ░░░░░░░░ That s what it ░░░░░░░░ It s marketing Carlson ░░░░░░░░ first of all let ░░░░░░░░ just state the obvious ░░░░░░░░ are no better entrepreneurs ░░░░░░░░ the world than America ░░░░░░░░ we have the best ░░░░░░░░ We have the most ░░░░░░░░ here in America So ░░░░░░░░ good news about this ░░░░░░░░ s proving something that ░░░░░░░░ need to do here ░░░░░░░░ is lowering the cost ░░░░░░░░ the ability for entry ░░░░░░░░ that provides access for ░░░░░░░░ I don t know ░░░░░░░░ s saying what is ░░░░░░░░ I think all this ░░░░░░░░ you re talking about ░░░░░░░░ going to come to ░░░░░░░░ But for us at ░░░░░░░░ Catalyst we invest in ░░░░░░░░ most transformative technologies in ░░░░░░░░ world And they spend ░░░░░░░░ number one or two ░░░░░░░░ of their budget is ░░░░░░░░ and AI today So ░░░░░░░░ we start seeing things ░░░░░░░░ this cost reductions we ░░░░░░░░ excited But in terms ░░░░░░░░ DeepSeek making this announcement ░░░░░░░░ know China has been ░░░░░░░░ our technology for years ░░░░░░░░ Yes Carlson So that ░░░░░░░░ like who would have ░░░░░░░░ right Of course they ░░░░░░░░ stealing BARTIROMO Of course ░░░░░░░░ ve done so many ░░░░░░░░ on China and so ░░░░░░░░ study on communist China ░░░░░░░░ audience is well aware ░░░░░░░░ Yes BARTIROMO of how ░░░░░░░░ they ve they ve ░░░░░░░░ intellectual property from America ░░░░░░░░ But they re not ░░░░░░░░ good as innovating on ░░░░░░░░ of that and moving ░░░░░░░░ And I think in ░░░░░░░░ our entrepreneurs really fail ░░░░░░░░ and succeed quickly So ░░░░░░░░ know I would say ░░░░░░░░ in because in the ░░░░░░░░ S I think we ░░░░░░░░ going to have a ░░░░░░░░ more announcements from our ░░░░░░░░ on what they re ░░░░░░░░ Because probably seeing this ░░░░░░░░ creates a lot more ░░░░░░░░ to even move faster ░░░░░░░░ But I guess on ░░░░░░░░ cost theme here I ░░░░░░░░ you ve got Microsoft ░░░░░░░░ 80 billion on you ░░░░░░░░ building out its AI ░░░░░░░░ this year Carlson Yeah ░░░░░░░░ Not it s not ░░░░░░░░ overall numbers just this ░░░░░░░░ 80 billion You you ░░░░░░░░ got you know Chat ░░░░░░░░ hundreds of billions And ░░░░░░░░ and and is there ░░░░░░░░ way that DeepSeek could ░░░░░░░░ been developed for 5 ░░░░░░░░ Carlson Maybe I possibly ░░░░░░░░ here s what I ░░░░░░░░ say I do think ░░░░░░░░ money that s being ░░░░░░░░ is going to be ░░░░░░░░ Here s why If ░░░░░░░░ just look at the ░░░░░░░░ market and the growth ░░░░░░░░ AI I don t ░░░░░░░░ that money will be ░░░░░░░░ for nothing I believe ░░░░░░░░ market is going to ░░░░░░░░ so enormous And if ░░░░░░░░ think about the types ░░░░░░░░ industries Maria that s ░░░░░░░░ disrupted around this we ░░░░░░░░ about something called applied ░░░░░░░░ at General Catalyst which ░░░░░░░░ taking more mature industries ░░░░░░░░ that you wouldn t ░░░░░░░░ of to utilize AI ░░░░░░░░ accounting legal You know ░░░░░░░░ re now moving very ░░░░░░░░ And when you think ░░░░░░░░ these industries being disrupted ░░░░░░░░ is why the cost ░░░░░░░░ the cost is a ░░░░░░░░ thing Now BARTIROMO Absolutely ░░░░░░░░ we are spending a ░░░░░░░░ but from a tech ░░░░░░░░ I think that s ░░░░░░░░ We saw the markets ░░░░░░░░ yesterday because people are ░░░░░░░░ you know yes maybe ░░░░░░░░ now just I think ░░░░░░░░ night the Navy said ░░░░░░░░ re not using it ░░░░░░░░ BARTIROMO Right Yeah Carlson ░░░░░░░░ can t use it ░░░░░░░░ security implications BARTIROMO So ░░░░░░░░ tell us about that ░░░░░░░░ are the national security ░░░░░░░░ of DeepSeek And by ░░░░░░░░ way you can you ░░░░░░░░ put this on any ░░░░░░░░ Chinese company right I ░░░░░░░░ Carlson That s right ░░░░░░░░ Alibaba all of the ░░░░░░░░ goes back to the ░░░░░░░░ So aren t there ░░░░░░░░ know aren t there ░░░░░░░░ risks in terms of ░░░░░░░░ in bed with communist ░░░░░░░░ Certainly when it when ░░░░░░░░ comes to defense Carlson ░░░░░░░░ I don t think ░░░░░░░░ s any way at ░░░░░░░░ level our government is ░░░░░░░░ to use this this ░░░░░░░░ because you have to ░░░░░░░░ through a process with ░░░░░░░░ S government and regulated ░░░░░░░░ It s not just ░░░░░░░░ government They go through ░░░░░░░░ security and compliance check ░░░░░░░░ I was just on ░░░░░░░░ chat yesterday with a ░░░░░░░░ of former Amazon engineers ░░░░░░░░ they were all saying ░░░░░░░░ the security of this ░░░░░░░░ is not proven Does ░░░░░░░░ work Yes But there ░░░░░░░░ still a lot of ░░░░░░░░ devil s in the ░░░░░░░░ So Navy said they ░░░░░░░░ not using it I ░░░░░░░░ sure today we re ░░░░░░░░ to see another cadre ░░░░░░░░ U S government agencies ░░░░░░░░ you can t use ░░░░░░░░ either personally or for ░░░░░░░░ BARTIROMO Yeah By the ░░░░░░░░ there are so many ░░░░░░░░ stocks that trade on ░░░░░░░░ S exchanges and they ░░░░░░░░ likely have the same ░░░░░░░░ O to have to ░░░░░░░░ forced to give the ░░░░░░░░ data and information And ░░░░░░░░ we allow investors to ░░░░░░░░ so many ways fund ░░░░░░░░ expansion of our number ░░░░░░░░ adversary Carlson Yeah BARTIROMO ░░░░░░░░ I mean is that ░░░░░░░░ policy that should be ░░░░░░░░ at Having these stocks ░░░░░░░░ on our exchanges you ░░░░░░░░ allowing perhaps investors who ░░░░░░░░ t really understand buying ░░░░░░░░ stocks I want you ░░░░░░░░ talk a bit about ░░░░░░░░ proper policy that you ░░░░░░░░ like to see coming ░░░░░░░░ of President Trump s ░░░░░░░░ House and the Congress ░░░░░░░░ help spur innovations in ░░░░░░░░ And and what specifically ░░░░░░░░ Carlson Yeah BARTIROMO to ░░░░░░░░ done from a policy ░░░░░░░░ Carlson Well let me ░░░░░░░░ me back up for ░░░░░░░░ minute and just say ░░░░░░░░ we launched this institute ░░░░░░░░ September and the idea ░░░░░░░░ work directly with policymakers ░░░░░░░░ have over 32 billion ░░░░░░░░ AUM and over 800 ░░░░░░░░ And what we said ░░░░░░░░ we re going to ░░░░░░░░ in and work with ░░░░░░░░ legislators at the industry ░░░░░░░░ and go in and ░░░░░░░░ a really good conversation ░░░░░░░░ the years one of ░░░░░░░░ things I realized In ░░░░░░░░ Tech which I work ░░░░░░░░ we did a really ░░░░░░░░ job getting in there ░░░░░░░░ the lawmakers and talking ░░░░░░░░ what we needed for ░░░░░░░░ startup companies for the ░░░░░░░░ tech We did not ░░░░░░░░ a good job with ░░░░░░░░ And because all these ░░░░░░░░ now to your point ░░░░░░░░ highly regulated the idea ░░░░░░░░ to go in and ░░░░░░░░ want to make sure ░░░░░░░░ the American companies are ░░░░░░░░ ones that the Trump ░░░░░░░░ is paying the most ░░░░░░░░ to and that we ░░░░░░░░ them the upper hand ░░░░░░░░ great news is they ░░░░░░░░ going in very quickly ░░░░░░░░ this light touch regulation ░░░░░░░░ I think they re ░░░░░░░░ to be on top ░░░░░░░░ this They brought in ░░░░░░░░ individuals we love like ░░░░░░░░ Sachs You have Michael ░░░░░░░░ have these individuals in ░░░░░░░░ White House now who ░░░░░░░░ understand what AI is ░░░░░░░░ our job is to ░░░░░░░░ in there and have ░░░░░░░░ conversations and also showcase ░░░░░░░░ companies to them so ░░░░░░░░ see what s happening ░░░░░░░░ America And then I ░░░░░░░░ say for you know ░░░░░░░░ 2000 2000 I ve ░░░░░░░░ going in and talking ░░░░░░░░ China even from my ░░░░░░░░ years in Big Tech ░░░░░░░░ say we have to ░░░░░░░░ cautious They re stealing ░░░░░░░░ technology We ve got ░░░░░░░░ make sure that we ░░░░░░░░ paying attention to what ░░░░░░░░ re doing But now ░░░░░░░░ 2016 since President Trump ░░░░░░░░ in we really start ░░░░░░░░ attention to that BARTIROMO ░░░░░░░░ for sure And and ░░░░░░░░ good reason Carlson Yes ░░░░░░░░ BARTIROMO A lot of ░░░░░░░░ lot of threats out ░░░░░░░░ Teresa it s great ░░░░░░░░ have you Thanks so ░░░░░░░░ Carlson Thank you so ░░░░░░░░ for having me BARTIROMO ░░░░░░░░ Teresa Carlson joining us ░░░░░░░░ appreciate your time.”