Americans see AI not as a tool for progress, but as the ultimate weapon for a new corporate ethos where profits surge *because* of layoffs and offshoring. This breaks the historical assumption that company success benefits employees, making workers view AI as an existential threat.

Market reactions to new AI models diverge sharply between the US and China. In the US, releases from giants like Anthropic or Gemini cause widespread software sell-offs due to disruption fears. In China, new models lift related sectors, as the market sees them as enablers for a less mature software industry with less to lose.

Despite being a leader in AI development, the US has significant negative public sentiment. This skepticism contrasts with more positive views in China and Europe and could hinder AI adoption, funding, and favorable regulation, creating a unique challenge for the industry's leaders.

The dot-com era, despite bubble fears, was characterized by widespread public optimism. In stark contrast, the current AI boom is met with significant anxiety, with over 30% of Americans fearing AI could end humanity. This level of dread marks a fundamental shift in public sentiment toward new technology.

The AI race isn't just about technology; it's also about public perception. China's 83% "AI optimism" rate fosters rapid development, while the U.S. rate of only 39% fuels a "regulatory frenzy" and public fear, potentially causing the nation to lose its lead.

For Chinese policymakers, AI is more than a productivity tool; it represents a crucial opportunity to escape the middle-income trap. They are betting that leadership in AI can fuel the innovation needed to transition from a labor-intensive economy to a developed one, avoiding the stagnation that has plagued other emerging markets.

While the West anticipates AI could generate an unprecedented 10% GDP growth, this figure is not new to China, which saw similar or higher growth rates multiple times through industrialization. This historical context suggests China may view AI's economic potential differently, having already experienced such rapid expansion through other means.

AI's contribution to US economic growth is immense, accounting for ~60% via direct spending and indirect wealth effects. However, unlike past tech booms that inspired optimism, public sentiment is largely fearful, with most citizens wanting regulation due to job security concerns, creating a unique tension.

While the US focuses on creating the most advanced AI models, China's real strength may be its proven ability to orchestrate society-wide technology adoption. Deep integration and widespread public enthusiasm for AI could ultimately provide a more durable competitive advantage.