Anthropic Accuses Alibaba of Large-Scale Claude Model Distillation via 25,000 Fake Accounts; BABA ADR Falls 2.73%

According to Anthropic, Alibaba's Qwen team was accused on Wednesday of conducting large-scale model distillation of Claude through approximately 25,000 fake accounts, with an estimated 28.8 million interactions conducted between April and June to bypass usage restrictions and collect model outputs. Alibaba ADR (BABA-US) shares fell 2.73% to $99.80, marking the seventh consecutive trading day of losses. Anthropic alleged the operation constitutes adversarial distillation—a technique involving harvesting responses from advanced AI models to train competing products at reduced cost—and has urged the Trump administration to implement stricter technical and regulatory measures to prevent unauthorized extraction of U.S. AI technology.
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