Chinese AI startup Moonshot AI has released a new open-source model called Kimi K2, aiming to regain its foothold in the competitive domestic market. The launch adds to a growing trend of open-source releases among Chinese tech firms.
According to the company, Kimi K2 offers advanced coding capabilities and excels at general agent tasks and tool integration, enabling it to handle complex operations more effectively. Moonshot claims the model outperforms other open-source models like DeepSeek's V3 and rivals some functions of leading U.S. models, including those developed by Anthropic, particularly in coding.
This move aligns with a broader shift in China, where companies are increasingly embracing open-source models. In contrast, many U.S. tech firms such as OpenAI and Google continue to keep their most advanced models closed. However, some U.S. players like Meta have also contributed to the open-source space.
Open-sourcing serves as a way for companies to highlight technical expertise, grow developer communities, and expand their global reach, a strategy that could help China counteract U.S. efforts to limit its technological progress. Other Chinese firms that have introduced open-source models include DeepSeek, Alibaba, Tencent, and Baidu.
Moonshot was founded in 2023 by Tsinghua University graduate Yang Zhilin and is supported by major players like Alibaba. The startup rose to prominence in 2024 due to the popularity of its Kimi platform, known for strong long-text analysis and AI search tools.
However, Moonshot's position weakened this year following the release of budget-friendly models from DeepSeek, including the R1 model launched in January, which significantly impacted the global AI landscape.
Kimi once ranked third in monthly active users last August but had dropped to seventh place by June, according to data from Chinese AI tracking platform aicpb.com.
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