Anthropic claims 3 Chinese companies ripped it off, using its AI tools to train their models: ‘How the turn tables’

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San Francisco–based Anthropic alleged that Chinese labs DeepSeek, Moonshot AI, and MiniMax violated corporate law by interacting with Claude, its market-reshaping vibe-coding tool. “We have identified industrial-scale campaigns by three AI laboratories—DeepSeek, Moonshot, and MiniMax—to illicitly extract Claude’s capabilities to improve their own models,” the company said. “These labs generated over 16 million exchanges with Claude through approximately 24,000 fraudulent accounts, in violation of our terms of service and regional access restrictions.”According to Anthropic, the Chinese companies relied on a technique known as “distillation,” in which one model is trained on the outputs of another, often a more capable system. The campaigns allegedly focused on areas that Anthropic considers key differentiators for Claude, including complex reasoning, coding assistance, and tool use.Anthropic argues that while distillation is a “widely used and legitimate training method,” the Chinese firms’ use of it in this manner may have been “for illicit purposes.” Using sprawling networks of fake accounts to replicate a competitor’s proprietary model violates its terms of service and undermines U.S. export controls aimed at constraining China’s access to cutting‑edge AI, Anthropic said, urging “rapid, coordinated action among industry players, policymakers, and the global AI community.”If not quite distillation, Anthropic was recently accused of copyright violations by thousands of authors, allegedly downloading books in bulk from shadow libraries to train its AI models, rather than buying copies and scanning them itself. In a historic move, Anthropic settled that lawsuit for $1.5 billion in September 2025, paying authors around $3,000 per book for roughly 500,000 works.The company claims the three labs bypassed geofencing and business restrictions that limit Claude’s commercial availability in China by routing traffic through proxy services that resell access to major Western AI models. One such “hydra cluster,” Anthropic said, operated tens of thousands of accounts simultaneously to spread requests across different API keys and cloud providers.Once those accounts were in place, the labs allegedly scripted long, high‑token conversations designed to extract detailed, step‑by‑step answers that could be fed back into their own systems as training data. In Anthropic’s telling, the result was an off‑the‑books pipeline that turned Claude into an unwilling teacher for models being developed inside China’s increasingly competitive AI sector.Terms and Privacy PolicyPrivacy & Cookie SettingsMore InfoS&P 5006,946.13 +56.06 (+0.81%)Dow 3049,482.15 +307.65 (+0.63%)Nasdaq23,152.08 +288.40 (+1.26%)Russell 20002,663.33 +11.00 (+0.41%)VIX17.93 -1.62 (-8.29%)Gold5,183.70 +7.40 (+0.14%)Trending tickersNVDA NVIDIA Corporation 195.56 +2.71 (+1.41%)CRM Salesforce, Inc. 191.75 +6.33 (+3.41%)SNOW Snowflake Inc. 169.21 +8.15 (+5.06%)BTC-USD Bitcoin USD 68,924.81 +4,766.25 (+7.43%)IONQ IonQ, Inc. 33.59 +1.97 (+6.23%)PortfolioSign in to access your portfolioSign inTop gainersYOU Clear Secure, Inc. 46.51 +13.04 (+38.96%)CRCL Circle Internet Group 83.14 +21.77 (+35.47%)CAVA CAVA Group, Inc. 85.67 +17.87 (+26.36%)CCC CCC Intelligent Solutions Holdings Inc. 6.34 +1.28 (+25.30%)ECG Everus Construction Group, Inc. 130.10 +25.89 (+24.84%)Top losersIBRX ImmunityBio, Inc. 9.54 -2.01 (-17.40%)LUNR Intuitive Machines, Inc. 15.89 -3.01 (-15.93%)DEO Diageo plc 86.15 -15.99 (-15.66%)GDDY GoDaddy Inc. 79.12 -13.18 (-14.28%)FSLR First Solar, Inc. 210.12 -33.09 (-13.61%)Most activeNVDA NVIDIA Corporation 195.56 +2.71 (+1.41%)PLUG Plug Power Inc. 1.9100 0.0000 (0.00%)IBRX ImmunityBio, Inc. 9.54 -2.01 (-17.40%)INTC Intel Corporation 46.88 +0.76 (+1.65%)ONDS Ondas Inc. 10.30 -0.10 (-0.96%)Top economic eventsEarnings eventsMy earnings eventsEarnings events