Garry Tan: Let American AI Labs Distill Frontier Models, Too

Garry Tan wants US open-weight AI labs to 'distill' frontier models, too

Garry Tan: Let American AI Labs Distill Frontier Models, Too

Y Combinator CEO Garry Tan says regulators should do nothing about distillation, the technique Chinese labs use to learn from frontier models. He argues American open-weight labs should be free to distill U.S. frontier models — legally, through the front door — to build a stronger non-Chinese open-weight ecosystem. Tan calls it an overreach for AI labs to control what customers do with their models, noting those same labs trained on copyrighted data without permission.

The nightmare scenario, the doomer scenario for AI is that there’s just one company. It has the best access to capital. It has the best AI researchers. It runs away with it and suddenly there’s one company that’s monolithic. And that would be bad.

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2026-09-13