This week began with a tech selloff in the markets after investors were spooked by Chinese AI startup DeepSeek. Experts are calling it “AI’s Sputnik moment,” as this China-based company produced a vastly less expensive product that knocked ChatGPT off the number one spot in the Apple App Store. R Street Institute policy analyst Adam Thierer about how China’s “world-class AI model” is a wake-up call for America’s tech giants and AI innovation.

Thierer’s remarks begin at the 17:24 mark.