So, last week there was one accusation

that moved the stock market. Yet, almost

everyone just rolled right past it. And

as you already know, I read way more

trip-related news than is probably

healthy for me these days. And this one

has personally stuck with me. The part

that should actually scare you is not

the machine everybody is talking about

right now. It is what already crossed

the border years prior and technology

that is about to land on the device you

own. Let's talk about it. Okay, so here

is what actually happened last week. The

US Commerce Secretary, they said ASML

down and claimed one of their machines

may have slipped into [music] China.

ASML, obviously, they denied about it,

right? Stating it never happened [music]

and claiming they track every single one

of these machines on the planet, which I

think, I don't know if it's true or not,

but since no one has shown any proof,

[music] it remains an accusation that

ASML denies entirely. However, the

strange part is that the stock still

dropped on the claim nobody could prove.

ASML fell and Korean chip futures fell

even harder. The reason it moved is

because this one accusation pokes at the

assumption a lot of these companies are

priced on nowadays. The idea that China

simply cannot get this technology,

including South Korea. So, I want to

talk about what this machine actually is

so the rest of this story kind of lands

on you. So, as of now, there is only one

company on Earth that builds these

machine and that [music] is ASML. So,

what is this machine is about? Each one

weighs about 180 tons, each costs

between 200 to 400 million plus dollars,

each takes about 250 plus engineers 6

plus months to build on site. So,

basically, what that means is you just

cannot make the most advanced chips

without this machine. The Nvidia chips

training AI, the chip inside your

iPhone, all of it has through this

single gate. That is exactly why the US

spent years and years making sure China

cannot get their hands [music] on this

one. So, now you might be wondering why

a story that's big just got scrolled

right past. There are two reasons I

think. So first of all, it sounds like a

2030 problem, so your brain just files

it under the not my problem yet list and

keeps on moving. Secondly, nobody has

confirmed it is whether it is true or

not. So it is easier to call it noise

instead of fact. However, the signals

that matters the most here are almost

always the ones that do not feel urgent

[music] yet. By the time they feel

urgent, you're already late. That's

usually how it is. And I want you to

hear me out carefully about this part

because the machine is not really the

story here. China has been trying to

pull this technology out for over a

decade [music] and they have two ways

in. Either they buy the people within

the US or they take apart the machines.

Back in 2019, a former ASML engineer

walked out the door with 2 million lines

of core source code of this machine and

set up shop in China. A US court

obviously ordered $845 million in

damages, but here's the part that really

gets me. He had already left the country

before the ruling came down. So what

that means is he runs a company over

there today. And last year, the story

going around was that Chinese engineers

quietly took apart an older ASML machine

to copy it, broke it, and then actually

called ASML for repair. The technician

flew out and found the thing already in

pieces. So the assumption whether or not

a machine physically crossed the border

or not, I want you to ask what has

already [music] crossed. And the source

code, 2 million lines of source code

crossed years ago and so did the

engineers spend years standing inside

the machine. So Reuters calls China's

chip push their Manhattan project.

[music] And that name is doing a lot of

work. Now, why don't you think about the

original one for a second? The world

found out about the Manhattan project

after Hiroshima. While it was actually

being built, almost nobody on Earth knew

it existed. The big happened in the

dark always and you only see them once

they are already done. Once they have

arrived. And of course, I have proved

that I'm not just being dramatic here

this past [music] April. Deep Sea

shipped the Frontier AI model running

entirely on Chinese chips and [music]

zero American silicon chip inside it.

Hundreds of millions of people use it

right now. That is not a prototype

sitting in a lab. That is shipping

today, right now, with that a machine

everyone's still arguing about. Now,

again, you might be thinking this is a

geopolitics story or anything like that

and it is actually, but it's also about

you sitting where you are right now.

Just to give you an idea of the scale,

China is bigger than most people

picture. Measured by what your money

actually buys, China they passed the US

economy around 2016 and it's roughly a

third larger today. So, you have that

scale and you have country that does not

stop. But here's where it lands on your

desk. The same invisibility that hit

that chip machine is about to hide

something a lot closer to home. So, what

that means is my read on this is that an

even more capable open weight model, the

kind built to run on hardware you own,

is landing early next year. I'm I'm

speculating here though, but in plain

English, that means it's top-tier AI you

can run on a computer you own with no

company in the loop deciding what you

are allowed to do with it. And this is

not me guessing it. It is already

starting. GLM 5.2 by Z AI just dropped

this month, open weight, free to

download and it is [music] amazing, by

far the best. So, the capability that

felt locked behind the monthly

subscription is about to sit on a

machine you own. So, let's wait about a

6 to 8 months and see what's going to

happen. Remember what I said, you do not

get a warning before the thing that

changes everything. For you, this is the

warning. Think about it and move on it

early. Your head start will compound

quietly while everyone else waits for

the obvious moment that's already

passed. [music] And simply because I'm

also guilty of losing out on an

opportunity because I waited too long.

So, before you take any of this as fact,

I want to put my bias on the table. I'm

South Korean living in Canada, so I'm

not a neutral voice here. Samsung and SK

Hynix are my home team. Their whole edge

rests on China not catching up. So, I

want you to weigh what I'm saying

[music] knowing that. And honestly, the

bias costs the other way, too. I think

China, they always figure things out

eventually with or without the

industrial spies because they always

have. They got the money, you know. The

machine is absurdly complex, over 10,000

parts, and the upkeep alone is just

brutal. So, I cannot tell you if it's

going to take them 2 years or maybe 6.

What I can tell you today, though, is

that they just [music] do not know how

to stop. Anyway, the real lesson here

today was never about chips. Today, it

is about how fast the ground is moving

under your feet right now and how little

warning you actually get before it moves

again. So, you do not get a warning

before the thing that changes

everything. So, you and me both, we are

standing right at the forefront of it,

which means build that thing this month

instead of next quarter. Ship it before

you feel ready. Create content and do

the marketing early on to see what

sticks. So, if this gave you one useful

way to see what is coming, the best move

you can make is to join the free

community and in this letter, that is

where I break down exactly what to run

the moment that open weight model drops.

You take all of it, and there's no

gatekeeping. And for the next video, I'm

going to break down the cheapest setup

that can actually run a frontier model

on your own hardware. So, you're ready

before it lands and not scrambling

after. And if you're a business owner

who previously tried building AI pilots

or demos, anything like that, but it

didn't work out within your business

systems and operations, or if you want

to start exploring the options of what

AI can do for your business, why don't

[music] you go to my website and book a

call with me and my team cuz I'm very

confident we should be able to help you

out even just a tiny bit on that.

Anyway, as always, thanks for watching.

And if you want to see me covering

anything else, why don't you comment

down below because that is how this

channel runs. You ask, I build, we all

learn. See you in the next [music]

video.