150+ Silicon Valley firms urge Trump not to ban Chinese open-weight AI models

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Nearly 200 Silicon Valley companies, including Y Combinator and Proton, have written to the Trump administration opposing any ban on Chinese open-weight AI models such as Moonshot's Kimi K3. The letter, organized by the Little Tech Association, warns that such a ban would instantly devastate hundreds of American startups that rely on these models. The firms argue the move would consolidate the market in favor of large players like Anthropic and OpenAI. The appeal comes as the White House intensifies threats of distillation restrictions and sanctions against Chinese AI developers.

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