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Summary

Rapid advancements in high-capability, low-cost Chinese AI models are disrupting the global competitive landscape previously dominated by US frontier labs. This proliferation of powerful AI infrastructure increases global risks associated with the democratization of dual-use capabilities and complicates international safety governance frameworks. Australian businesses are increasingly adopting these tools, highlighting the urgent need for local policy to address the strategic and safety implications of non-Western frontier models. The shift underscores a critical evolution in the global AI power balance and its impact on the efficacy of unilateral safety agreements.

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