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Unpacking Anthropic’s claim that Chinese AI labs used “model distillation” to extract capabilities from Claude at industrial scale. What is distillation, when is it legitimate, and where does it cross into IP theft? Crisis! Anthropic Claude Vs. the Chinese Distillers | Mentor Sandy explains | Billion Hopes We also examine the deeper hypocrisy in the global AI race: Western frontier models were trained on massive amounts of public internet data, often without consent, while now accusing rivals of “stealing” outputs. Is this about intellectual property, national security, or AI geopolitics? This explainer breaks down the technical, legal, and geopolitical angles behind the US–China AI cold war - and why model distillation is becoming the new battleground in global AI competition. What this video covers • What model distillation actually is (simple explanation) • Anthropic vs Chinese AI labs – what’s being alleged • Is distillation theft or a normal ML practice? • How US–China AI rivalry is reshaping AI rules • What this means for open models, APIs, and sovereign AI Who this video is for Students and AI beginners Non-technical professionals Enterprise leaders and consultants CXOs, policymakers, and strategists Anyone building or deploying real-world AI systems About the Mentor This session is led by Mentor Sandy (Sandeep Manudhane), Founder of Billion Hopes - AI for Real Impact, a platform dedicated to mentoring professionals, educating learners, transforming organizations, and helping policymakers adopt AI responsibly. With over three decades of teaching and mentoring experience, Mentor Sandy focuses on explaining complex AI concepts in a clear, balanced, and human-centered way — separating lasting insight from short-term hype. Billion Hopes - AI for Real Impact https://billionhopes.ai