In his closing fireside at the 2025 Hill & Valley Forum, Vinod Khosla shares his strategic vision for American AI dominance, detailing why strategic AI advantages are critical for national security and economic leadership. Khosla explains why releasing open-source models strategically (keeping the latest generation proprietary) is essential, why AI treaties with China are unworkable, and how AI could revolutionize healthcare costs by reducing the "expertise inflation" that drives up expenses. He offers a compelling framework for understanding the technological, economic, and geopolitical implications of the AI race with China.

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@vkhosla (Vinod Khosla)

@zebulgar (Delian Asparouhov)

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Timestamps:

(00:00) AI and robotics as the key to bringing manufacturing back to America

(00:48) Open-source AI models versus state-of-the-art models

(02:16) Why releasing one-generation-behind models is the right strategy for American leadership

(03:31) Explanation of why AI treaties would never work due to verification challenges

(04:37) Immigration of top AI talent as America's greatest competitive advantage

(05:32) Why the nation with the better AI model will win the economic race within 10 years

(06:18) How China could use free AI doctors and tutors as powerful geopolitical soft power tools

(07:49) The persuasive power of AI and the dangers of Chinese AI with Chinese ethics

(09:01) The growing divide between exponential AI progress and institutional resistance

(10:35) How AI could slash healthcare costs by replacing expensive expertise

(13:03) Balancing AI safety concerns with the more immediate threat of Chinese AI dominance

(15:50) Why reducing supply chain dependence on China is a strategic imperative

(17:30) The role of AI and robotics in reshoring manufacturing cost-effectively

(19:24) The threat of Taiwan invasion and the need for semiconductor independence

(20:17) Why venture capital's risk-taking approach to defense technology outperforms traditional contractors

(22:26) The challenges of reshoring rare earth mineral processing and new AI-driven solutions