This is the cost America and American AI Tech / General Tech pays when the CIA/NSA get to pick the "winners" before the first lap is complete.
What does this say about the state of American AI (and tech in general)?
DEI, Nepotism (across the board from funding, government contracts, hiring, etc.), Cancel Culture (determines who gets funding, which startups are starved of funds, and worse, which startups are targeted for destruction. See: Facebook vs MySpace, Google vs Yahoo!, Netflix's "miraculous victory", etc.).
It's then compounded by the attempt to create a Potemkin Moat using Vanity Metrics like total funding, GPUs deployed, number of parameters, number of tokens, etc.
This is the same reason the US lost the Vietnam War when it was winnable, conventionally in 30-45 days after mobilization.
vs
A small team of switched on smart, ambitious Chinese guys focusing algo's and performance.