<p>&nbsp;</p><p>Chinese military researchers have reportedly used outputs from leading artificial intelligence models developed by OpenAI and Anthropic to train domestic AI systems, according to a Reuters review of more than 80 Chinese academic papers and patents. The documents suggest researchers relied on a technique known as model distillation to build smaller AI models for defence and security applications.</p><p>The findings come as AI competition between the United States and China intensifies, with both countries increasingly treating advanced AI as a strategic technology.</p><h2><strong>What is model distillation?</strong></h2><p>Model distillation is a widely used AI technique in which a smaller model learns from the outputs of a much larger one. Rather than recreating frontier AI from scratch, developers use responses generated by advanced models to build systems that require far less computing power.</p><p>According to the Reuters review, researchers linked to the People's Liberation Army (PLA) and other military institutions used this approach to develop AI systems that could run within secure domestic networks. Experts note that distillation itself is a common industry practice. The dispute centres on whether American AI models were used without authorisation to transfer proprietary capabilities.</p><h2><strong>How were the models reportedly used?</strong></h2><p>The papers reviewed by Reuters describe AI applications ranging from software analysis and content monitoring to drone navigation and target recognition. One study by researchers from PLA Unit 96941 reportedly used OpenAI's GPT-3.5 to summarise sensitive military software code before training a domestic model capable of operating entirely inside Chinese military systems. Other papers described using Anthropic's Claude 3 Haiku to generate synthetic training data for content moderation, while separate research explored deploying distilled AI models on drones, ships and unmanned submarines.</p><p>The report comes ahead of expected US-China discussions on AI governance and follows growing concerns in Washington over the transfer of advanced AI capabilities. Anthropic said it does not provide commercial access to Claude in China or to Beijing-controlled entities and monitors for policy violations. Reuters reported that OpenAI, the Pentagon, China's foreign ministry and the PLA did not respond to requests for comment.</p><p>Researchers also caution that distilled models have clear limitations. They can inherit selected capabilities from larger models but cannot fully match the broad intelligence or reasoning abilities of frontier AI systems built with massive computing resources. The findings highlight how AI has become a key area of strategic competition, with nations racing not only to build powerful models but also to adapt them for defence, cybersecurity and national security applications.</p>

Chinese military-linked researchers have reportedly used outputs from OpenAI and Anthropic models to train domestic AI systems for defence applications, according to a Reuters review of academic papers. 


Chinese military researchers have reportedly used outputs from leading artificial intelligence models developed by OpenAI and Anthropic to train domestic AI systems, according to a Reuters review of more than 80 Chinese academic papers and patents. The documents suggest researchers relied on a technique known as model distillation to build smaller AI models for defence and security applications. The findings come as AI competition between the United States and China intensifies, with both countries increasingly treating advanced AI as a strategic technology. What is model distillation? Model distillation is a widely used AI technique in which a smaller model learns from the outputs of a much larger one. Rather than recreating frontier AI from scratch, developers use responses generated by advanced models to build systems that require far less computing power. According to the Reuters review, researchers linked to the People's Liberation Army (PLA) and other military institutions used this approach to develop AI systems that could run within secure domestic networks. Experts note that distillation itself is a common industry practice. The dispute centres on whether American AI models were used without authorisation to transfer proprietary capabilities. How were the models reportedly used? The papers reviewed by Reuters describe AI applications ranging from software analysis and content monitoring to drone navigation and target recognition. One study by researchers from PLA Unit 96941 reportedly used OpenAI's GPT-3.5 to summarise sensitive military software code before training a domestic model capable of operating entirely inside Chinese military systems. Other papers described using Anthropic's Claude 3 Haiku to generate synthetic training data for content moderation, while separate research explored deploying distilled AI models on drones, ships and unmanned submarines. The report comes ahead of expected US-China discussions on AI governance and follows growing concerns in Washington over the transfer of advanced AI capabilities. Anthropic said it does not provide commercial access to Claude in China or to Beijing-controlled entities and monitors for policy violations. Reuters reported that OpenAI, the Pentagon, China's foreign ministry and the PLA did not respond to requests for comment. Researchers also caution that distilled models have clear limitations. They can inherit selected capabilities from larger models but cannot fully match the broad intelligence or reasoning abilities of frontier AI systems built with massive computing resources. The findings highlight how AI has become a key area of strategic competition, with nations racing not only to build powerful models but also to adapt them for defence, cybersecurity and national security applications.

<p>Chinese military-linked researchers reportedly used outputs from OpenAI and Anthropic models to train domestic AI systems through model distillation, according to a Reuters review. The findings underscore growing US-China tensions over AI, defence technology and intellectual property.</p>

China used OpenAI and Anthropic outputs to train military AI systems: Report

<p>Artificial intelligence is reshaping the global technology industry, with many companies reducing jobs as they invest more heavily in automation and AI systems. However, amid this wave of layoffs, cybersecurity has emerged as one of the fastest-growing hiring sectors as organisations rush to protect themselves against increasingly advanced cyber threats.&nbsp;<br><br>Major technology companies including Microsoft, Amazon and Oracle have all linked parts of their recent workforce reductions to AI-driven restructuring and automation strategies. Reports indicate that thousands of jobs have been affected globally as firms shift more resources towards AI infrastructure, cloud computing and automation tools. More recently, Meta reportedly cut around 8,000 jobs as part of its broader AI-focused restructuring plans.</p><h2><strong>Cybersecurity hiring rises as AI threats grow</strong></h2><p>At the same time, demand for cybersecurity professionals is increasing rapidly. According to a report by The New York Times, recruiters are struggling to find enough cybersecurity experts to fill rising numbers of vacancies. Analysts say the surge is directly linked to growing fears around AI-powered cyberattacks and digital vulnerabilities. One of the biggest concerns is that advanced AI models can now identify software vulnerabilities far faster than traditional security systems. AI systems such as Anthropic’s Claude Mythos have reportedly demonstrated the ability to detect thousands of weaknesses in software within a short period of time. While such tools can help companies improve security, experts warn that attackers may also use similar AI systems to identify flaws in critical infrastructure, banking systems and enterprise software at unprecedented speed. Governments, regulators, banks and major corporations are therefore increasing cybersecurity investments to prepare for these emerging risks. Reports suggest that India’s leading banks, government departments and IT firms have already begun stress-testing important systems amid concerns around AI-assisted cyber threats.</p><h2><strong>AI tools are helping hackers and defenders alike</strong></h2><p>Despite rapid progress in AI, cybersecurity researchers say human expertise remains essential. AI systems may help detect bugs or automate parts of security analysis, but experienced professionals are still needed to understand how attacks function in real-world environments. One recent example involved a cybersecurity startup using an AI system to help develop an exploit targeting Apple’s new chip protection technology. Researchers said the AI accelerated the process, but human specialists were still required to understand and bypass the security system effectively. Experts say this highlights an important shift in cybersecurity. AI is becoming a tool that can help both defenders and attackers, increasing the need for skilled professionals who can respond to fast-changing threats.</p><h2><strong>‘Vibe coding’ creating new security concerns</strong></h2><p>Another major factor driving cybersecurity hiring is the rapid rise of AI-assisted software development, often called “vibe coding”. According to a recent Wired report, nearly 40 per cent of applications developed with AI coding assistance exposed sensitive information, including financial records, medical data, internal company documents and chatbot conversations. Security experts believe many developers are now launching software faster with AI tools but without proper security testing, creating more opportunities for cyberattacks. As more businesses adopt AI coding systems, demand for cybersecurity professionals is rising to identify and fix vulnerabilities before attackers can exploit them.</p><h2><strong>Some experts question AI-linked layoffs</strong></h2><p><br>While AI continues to be cited as a reason for layoffs, some industry leaders believe companies may also be using AI as a convenient explanation for broader cost-cutting measures. Sridhar Vembu has repeatedly questioned the current AI hype cycle, arguing that productivity improvements from AI are still limited in many areas. According to him, some firms may be blaming AI for layoffs that are actually driven by economic pressure and investor expectations rather than direct automation.</p><h2><strong>What this means for tech jobs</strong></h2><p>The overall trend highlights how the technology job market is changing. While automation is reducing demand for some traditional roles, cybersecurity jobs are becoming increasingly important as AI expands both opportunities and risks in the digital world.</p><p>Experts believe demand for:</p><p>Security analysts</p><p>Ethical hackers</p><p>Cyber defence specialists</p><p>Infrastructure protection experts</p><p>will continue to rise as organisations increase spending on digital protection.</p><p>What happens next</p><p>As AI systems become more advanced, companies are expected to invest even more in cybersecurity to protect critical infrastructure and sensitive data. The development highlights a growing reality in the technology sector: while AI may reduce certain jobs, it is also creating urgent demand in areas where human judgement, security expertise and risk management remain essential.</p>

Artificial intelligence is reshaping the global technology industry, with many companies reducing jobs as they invest more heavily in automation and AI systems. However, amid this wave of layoffs, cybersecurity has emerged as one of the fastest-growing hiring sectors.


Artificial intelligence is reshaping the global technology industry, with many companies reducing jobs as they invest more heavily in automation and AI systems. However, amid this wave of layoffs, cybersecurity has emerged as one of the fastest-growing hiring sectors as organisations rush to protect themselves against increasingly advanced cyber threats. Major technology companies including Microsoft, Amazon and Oracle have all linked parts of their recent workforce reductions to AI-driven restructuring and automation strategies. Reports indicate that thousands of jobs have been affected globally as firms shift more resources towards AI infrastructure, cloud computing and automation tools. More recently, Meta reportedly cut around 8,000 jobs as part of its broader AI-focused restructuring plans. Cybersecurity hiring rises as AI threats grow At the same time, demand for cybersecurity professionals is increasing rapidly. According to a report by The New York Times, recruiters are struggling to find enough cybersecurity experts to fill rising numbers of vacancies. Analysts say the surge is directly linked to growing fears around AI-powered cyberattacks and digital vulnerabilities. One of the biggest concerns is that advanced AI models can now identify software vulnerabilities far faster than traditional security systems. AI systems such as Anthropic’s Claude Mythos have reportedly demonstrated the ability to detect thousands of weaknesses in software within a short period of time. While such tools can help companies improve security, experts warn that attackers may also use similar AI systems to identify flaws in critical infrastructure, banking systems and enterprise software at unprecedented speed. Governments, regulators, banks and major corporations are therefore increasing cybersecurity investments to prepare for these emerging risks. Reports suggest that India’s leading banks, government departments and IT firms have already begun stress-testing important systems amid concerns around AI-assisted cyber threats. AI tools are helping hackers and defenders alike Despite rapid progress in AI, cybersecurity researchers say human expertise remains essential. AI systems may help detect bugs or automate parts of security analysis, but experienced professionals are still needed to understand how attacks function in real-world environments. One recent example involved a cybersecurity startup using an AI system to help develop an exploit targeting Apple’s new chip protection technology. Researchers said the AI accelerated the process, but human specialists were still required to understand and bypass the security system effectively. Experts say this highlights an important shift in cybersecurity. AI is becoming a tool that can help both defenders and attackers, increasing the need for skilled professionals who can respond to fast-changing threats. ‘Vibe coding’ creating new security concerns Another major factor driving cybersecurity hiring is the rapid rise of AI-assisted software development, often called “vibe coding”. According to a recent Wired report, nearly 40 per cent of applications developed with AI coding assistance exposed sensitive information, including financial records, medical data, internal company documents and chatbot conversations. Security experts believe many developers are now launching software faster with AI tools but without proper security testing, creating more opportunities for cyberattacks. As more businesses adopt AI coding systems, demand for cybersecurity professionals is rising to identify and fix vulnerabilities before attackers can exploit them. Some experts question AI-linked layoffs While AI continues to be cited as a reason for layoffs, some industry leaders believe companies may also be using AI as a convenient explanation for broader cost-cutting measures. Sridhar Vembu has repeatedly questioned the current AI hype cycle, arguing that productivity improvements from AI are still limited in many areas. According to him, some firms may be blaming AI for layoffs that are actually driven by economic pressure and investor expectations rather than direct automation. What this means for tech jobs The overall trend highlights how the technology job market is changing. While automation is reducing demand for some traditional roles, cybersecurity jobs are becoming increasingly important as AI expands both opportunities and risks in the digital world. Experts believe demand for: Security analysts Ethical hackers Cyber defence specialists Infrastructure protection experts will continue to rise as organisations increase spending on digital protection. What happens next As AI systems become more advanced, companies are expected to invest even more in cybersecurity to protect critical infrastructure and sensitive data. The development highlights a growing reality in the technology sector: while AI may reduce certain jobs, it is also creating urgent demand in areas where human judgement, security expertise and risk management remain essential.

<p>Artificial intelligence is reshaping the global technology industry, with many companies reducing jobs as they invest more heavily in automation and AI systems. However, amid this wave of layoffs, cybersecurity has emerged as one of the fastest-growing hiring sectors.</p>

‘AI and layoffs’: Why cybersecurity experts are now in high demand

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China used OpenAI and Anthropic outputs to train military AI systems: Report

‘AI and layoffs’: Why cybersecurity experts are now in high demand