Is Open-Source vs. Proprietary AI the real AI race, not US vs. Chinese AI, and is Open-Source winning?

One of the distortions of AI commentary is that so much of its focus is on Venture Capitalism. Because many people are incentivized to talk about where the big money is flowing, they ignore outside their bubble. Meanwhile, often the really significant things happen elsewhere.

With AI that 'really significant' thing - is that free open-source AI is the global future, far more than the VC darlings like OpenAI. Not that the people pouring hundreds of billions of dollars into the likes of OpenAI are likely to admit that.

There are more signs of this as recently as this week. Yet again, free open-source AI (in this the Qwen3 family from Alibaba) is not only equalling the best of the investor-funded AI, they are bettering it in some metrics.

The VC's thinking is that one of their bets will make big & generate trillions in revenue, but it seems hard to believe when all over the world people can pick up what you're trying to sell for free.