How China Is Reacting to DeepSeek Upending the A.I. Race

Inside China, it was called the tipping point for the global technological rivalry with the United States and the “darkest hour” in Silicon Valley, evoking Winston Churchill. It was possibly a breakthrough that could change the country’s destiny.

The news that the Chinese start-up DeepSeek can build artificial intelligence models that are as good as OpenAI’s, and at a fraction of the cost, tanked the stock market on Monday and sent Silicon Valley into a panic.

The claim about…