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Why Chinese AI Models Are Gaining Ground: Lower Costs and “Good Enough” Performance
Intel CEO Lip Bu Tan said Chinese models including DeepSeek, Kimi and GLM had lower token costs, were being adopted “very fast,” and performed “good enough,” according to Reuters. Tan called open source a way to drive efficiency and said markets would determine which models suit different uses.
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Key takeaways
- Intel CEO Lip Bu Tan said Chinese models including DeepSeek, Kimi and GLM had lower token costs, were being adopted “very fast,” and performed “good enough,” according to Reuters.
- Tan called open source a way to drive efficiency and said markets would determine which models suit different uses.
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openai.comCreate a landscape editorial hero image for this Studio Global article: What did Intel CEO Lip-Bu Tan say, according to Reuters, at the inaugural DBS Asia Future Forward Conference in Singapore on October 12, 202. Article summary: According to Reuters, Lip-Bu Tan said Chinese frontier AI models—including DeepSeek, Kimi and GLM—had lower per-token costs, were being adopted “very fast,” and delivered performance that was “good enough.” [1] His broad. Topic tags: general, news, general web. Style: premium digital editorial illustration, source-backed research mood, clean composition, high detail, modern web publication hero. Use reference image context only for broad subject, composition, and topical grounding; do not copy the exact image. Avoid: logos, brand marks, copyrighted characters, real person likenesses, fake screenshots, UI text, readable text, watermarks, charts with fake numbers
Lower costs and practical performance can help an AI model find users even if it is not the strongest option for every task. That was the point Intel CEO Lip-Bu Tan made about Chinese frontier models at the inaugural DBS Asia Future Forward Conference in Singapore on October 12, 2026, according to Reuters. 1
What Tan said about Chinese AI models
Tan said token costs for Chinese frontier AI models were lower and adoption had been “very fast.” He described the performance of DeepSeek, Kimi and GLM as “good enough.” 1
That is a cost-and-utility observation, not a claim that these models outperform all alternatives. “Good enough” suggests that performance can meet the needs of particular applications; lower costs may matter to adopters weighing what a model can do against what it costs to use. The Reuters report does not identify specific U.S. models as comparisons, so Tan’s remarks should not be read as a direct ranking of Chinese and U.S. developers. 1
Open source and market-led model selection
Tan said he was a strong believer in open source, calling it “the best way to drive efficiency.” He added that markets would decide which models benefit different use cases most. 1
Together, those remarks frame competition around efficiency and application fit rather than a single model winning every task. The Reuters account supports Tan’s comments on open source and market selection; it does not establish a specific claim from him about openly available model weights. 1
His quantum-computing forecast—and what remains unclear
Tan also said quantum computing could become mainstream within the next three to five years. That is his forecast, not a confirmed timeline. 1
The available Reuters excerpt does not provide enough detail to explain his comments about software’s role in using future computing infrastructure efficiently. That part of the discussion cannot be assessed from the supplied reporting.
The broader conference theme: adoption, returns and investment
The panel discussion also addressed where the next trillion dollars of AI investment might come from. Broadcom CEO Hock Tan said most companies were still looking for AI use cases that generate a return on investment. 2
That business-value question fits DBS’s stated conference theme of “intentional AI,” which it described in terms of AI having a clear purpose and creating useful, measurable impact. 26 In that context, lower-cost models and suitable performance matter as part of a broader adoption picture: companies also have to decide whether a use case delivers value worth its costs. This is context for Tan’s comments, not a claim that he presented a complete comparison of AI models or infrastructure needs.
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Intel CEO Lip Bu Tan said Chinese models including DeepSeek, Kimi and GLM had lower token costs, were being adopted “very fast,” and performed “good enough,” according to Reuters.
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Intel CEO Lip Bu Tan said Chinese models including DeepSeek, Kimi and GLM had lower token costs, were being adopted “very fast,” and performed “good enough,” according to Reuters. Tan called open source a way to drive efficiency and said markets would determine which models suit different uses.
Sources
rmb.reuters.comIntel CEO says Chinese frontier AI model adoption has been 'very fast'
businesstimes.com.sg'Wasting money, spending tokens': Companies still in search of AI ...
dbs.comDBS Asia Future Forward Conference (AFFC): Intentional AI for Asia
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