U.S. lawmakers are [1]probing the growing use of Chinese AI models by American companies , citing concerns over censorship, security risks, and whether U.S. firms are turning to cheaper foreign models because domestic alternatives are too costly or restricted. The investigation is specifically looking at companies such as Cursor and Airbnb. "The growing use of Chinese AI models by U.S. companies raises serious concerns," a State Department spokesperson told CNBC. Those "AI models are designed to advance Beijing's narratives, censor dissent, and reflect CCP ideology and values." CNBC reports:

> The House Committee on Homeland Security and the House Select Committee on China said in April they will jointly investigate the growing adoption of Chinese-developed AI models. An initial step in the probe was for the chairmen of those committees to send letters to Cursor and Airbnb, over their "use of or exposure to these risks" through AI developed in China. "The Chinese Communist Party is no longer just nipping at our heels in artificial intelligence; it is racing to close the gap in some of the exact capabilities that will shape the future of cybersecurity," Andrew Garbarino, chairman of the U.S. House Committee on Homeland Security, told CNBC. "Recent reporting that a Chinese open-weight model can match leading U.S. models in certain vulnerability discovery and cybersecurity tasks is highly alarming," said Garbarino.

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> While some government departments have banned the usage of Chinese AI models including DeepSeek, adoption of them by U.S. companies is not prohibited. Tech chiefs, including crypto company Coinbase's Brian Armstrong and AI startup Lindy's Flo Crivello, have been publicly touting the use of models from China to reduce costs. Cursor, which will be acquired by Elon Musk's SpaceX for $60 billion, built its Composer 2 model using Chinese AI model Kimi, which was developed by Moonshot AI. Alongside focusing on the rise of Chinese AI models, the ongoing joint House Committees' investigation is also looking into whether the U.S. is doing enough to tackle their rise. "The Committees are also examining whether the United States has a sufficient open-weight AI strategy to ensure American companies and cyber defenders are not forced to choose between expensive or restricted U.S. models and cheap, capable PRC-developed alternatives," a Committee aide, who asked not to be named as they were not authorized to discuss the ongoing probe, told CNBC.

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> [...] The administration could consider the use of federal procurement bans, which would include restricting government agencies and private companies that serve the U.S. government from using Chinese AI models, Kyle Chan, fellow in the John L. Thornton China Center at think tank Brookings, told CNBC. "However, it's ultimately impossible to ban China's open-source AI models because their model weights are available freely on the internet," Chan added. "This could enter into first amendment speech issues." [...] Another [approach] could be disseminating findings about risks and vulnerabilities associated with Chinese AI models to U.S. companies. "Regardless, I do expect both the Executive Branch and Congress to communicate their interest not to see U.S. companies adopting these models," [said Daniel Remler, senior fellow, technology and national security program at think tank the Center for a New American Security (CNAS), told CNBC].



[1] https://www.cnbc.com/2026/07/08/chinese-ai-models-probe-us-lawmakers.html