Intel (NASDAQ: INTC) CEO Lip Bu Tan specifically commended DeepSeek, Kimi and GLM during a speech at a panel hosted by Singapore lender DBS, where the chief executive of the Washington-backed chipmaker praised Chinese frontier AI models as “good enough.” Tan’s Monday comments echoed earlier sentiments shared by Jensen Huang, the CEO at Nvidia (NASDAQ: NVDA). The US government, which owns a roughly 10% stake in Intel, already accused the same three Chinese AI labs (DeepSeek, Kimi and GLM) that Tan commended in a September IP theft release. Intel’s CEO backs “good enough” and cheaper to run Chinese AI models Lip Bu Tan told the DBS audience that he is “a strong believer of open source.” He also credited them for being more cost-efficient and that the market would decide which models suit which jobs best, with adoption being “very fast” so far. Developers can download and adapt open-weight models, including those from the Chinese labs that Tan named, at a fraction of the price it takes to run similar-performing closed models from American labs.Tan also forecast a future where quantum computing could reach the mainstream within three to five years.Washington is investigating the Chinese labs Tan praisedTan’s endorsement came about five weeks after Cryptopolitan reported that a September joint advisory from the FBI, National Security Agency and Cybersecurity and Infrastructure Security Agency accused DeepSeek, Moonshot AI (Kimi) and Z.ai (GLM) along with three other Chinese firms of running industrial-scale distillation campaigns from US models since late 2024. Distillation, the process of training a smaller model on a larger one’s outputs, is a standard research method. However, Washington has often pushed back at the scale and intent of these Chinese campaigns as crossing a line. Notably, Tan is not the only US-based executive to praise models from Chinese AI labs. Nvidia’s Jensen Huang dismissed fears in July that Chinese AI could run US firms “off the road.” The CEO argued that US companies should “absolutely” be allowed to use Chinese open-source models, which he described as “excellent” at the time. During the same month, Nvidia joined Microsoft, Meta, Hugging Face and Mistral as signatories of an open letter asking policymakers not to rush to “premature restrictions” on open-weight models. While the letter never named China, it coincided with reports about ban and sanction threats from the Trump administration and Treasury Secretary Scott Bessent.The US government has a stake in IntelIntel entered into a deal with the Trump administration, under which the US government agreed to buy 433.3 million Intel shares at $20.47 each for an $8.9 billion investment, representing a 9.9% stake, according to Intel’s filing. Counting earlier CHIPS Act grants, total government backing reaches $11.1 billion.Another wrinkle could be added to the ownership structure based on Trump’s comments suggesting that the government “might” take Intel-style stakes in OpenAI and Anthropic, the two labs loudest about Chinese distillation. That would leave Washington owning both the chipmaker praising Chinese models and the labs accusing those models of theft.If you're reading this, you’re already ahead. Stay there with our newsletter.