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What Is AI Distillation and Why Is It a Worry for the Industry?
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What Is AI Distillation and Why Is It a Worry for the Industry?

Bloomberg Tech · Jun 26, 2026, 6:18 PM

Artificial intelligence companies in the US have spent hundreds of billions of dollars to develop more advanced chatbots, betting they can earn enough from customers to justify the investment. That approach carries the risk of being undermined by rivals who build competing AI systems for far less.

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