Beijing Rejects Anthropic's Claims of Chinese AI Labs Engaging in 'Distillation Attacks'

AI firm Anthropic has accused several Chinese AI laboratories, including DeepSeek, Xiaomi, Moonshot AI, and Alibaba, of conducting 'industrial-scale distillation attacks' by rerouting user prompts to Anthropic's Claude model to train their own architectures. Beijing has rejected these claims, with a Chinese Foreign Ministry spokesperson stating opposition to 'distorting facts.' Anthropic's report, 'Detecting and Countering Misuse of AI: September 2026,' also noted that these unauthorized pass-throughs inadvertently exposed sensitive third-party data.