Chinese models Kimi K3 and Qwen 3.8 match Anthropic's Fable 5 performance and will open-source. Gryc notes Fable 5's inference cost is triple OpenAI's and open-source models, risking market abandonment. He categorizes AI firms by infrastructure—rented, owned, or self-powered—emphasizing that infrastructure advantage can sustain profits even with weaker models. Competition intensifies as Chinese labs rapidly catch up.