Hoover Fellows Dr. Elizabeth Economy and Dr. Amy Zegart discuss the "DeepSeek moment"— when China's DeepSeek AI model surprised U.S. markets by replicating OpenAI's performance using fewer resources and an open-source approach. The two explore the strategic implications of open versus closed AI models, with there being an argument that the U.S. should embrace more open research approaches rather than closed models. They highlight how China is successfully replicating America's historical innovation model—investing heavily in long-term basic science—while the U.S. has reduced federal R&D spending. The two scholars conclude with policy recommendations, including fixing K-12 math education, creating a national computer infrastructure for universities, and strengthening partnerships with allies while emphasizing the importance of including academia in what should be "public-private-academic partnerships."

Recorded on July 2, 2025.

ABOUT THE SPEAKERS

Amy Zegart is the Morris Arnold and Nona Jean Cox Senior Fellow and the Director of the Technology Policy Accelerator (TPA) at the Hoover Institution. She is also a Professor of Political Science (by courtesy) at Stanford University, and a Senior Fellow at Stanford's Human-Centered Artificial Intelligence Institute and the Freeman Spogli Institute for International Studies. The author of five books, she specializes in U.S. intelligence, emerging technologies and national security, grand strategy, and global political risk management.

Zegart's award-winning research includes the leading academic study of intelligence failures before 9/11: Spying Blind: The CIA, the FBI, and the Origins of 9/11. Her most recent book is the bestseller Spies, Lies, and Algorithms: The History and Future of American Intelligence (Princeton, 2022), which was nominated by Princeton University Press for the Pulitzer Prize. Her op-eds and essays have appeared in Foreign Affairs, Politico, the New York Times, the Washington Post, and the Wall Street Journal.

Elizabeth Economy is the Hargrove Senior Fellow and co-director of the Program on the US, China, and the World at the Hoover Institution. From 2021-2023, she took leave from Hoover to serve as the senior advisor for China to the US Secretary of Commerce. Before joining Hoover, she was the C.V. Starr Senior Fellow and director, Asia Studies at the Council on Foreign Relations. She is the author of four books on China, including most recently The World According to China (Polity, 2021), and the co-editor of two volumes. She serves on the boards of the National Endowment for Democracy and the National Committee on US-China Relations. She is a member of the Aspen Strategy Group and Council on Foreign Relations and serves as a book reviewer for Foreign Affairs.  

ABOUT THE SERIES

China Considered with Elizabeth Economy is a Hoover Institution podcast series that features in-depth conversations with leading political figures, scholars, and activists from around the world. The series explores the ideas, events, and forces shaping China’s future and its global relationships, offering high-level expertise, clear-eyed analysis, and valuable insights to demystify China’s evolving dynamics and what they may mean for ordinary citizens and key decision makers across societies, governments, and the private sector.