Moonshot AI wants 30% of what US clouds earn from Kimi K3 (thenextweb.com)

Moonshot AI, a Chinese company, is negotiating with Microsoft, Amazon, and Google to host its massive Kimi K3 AI model on their cloud platforms, aiming to secure up to 30% of the revenue generated. This pioneering arrangement, if realized, would mark the first collaboration of its kind between a Chinese AI developer and major U.S. cloud providers. The K3 model, featuring an impressive 2.8 trillion parameters, poses significant hosting challenges due to the extreme computational resources required, making a cloud partnership essential for widespread distribution. This deal holds substantial implications for the AI/ML landscape, as it addresses both distribution needs for Moonshot and customer demand for advanced AI models from hyperscalers. However, unresolved issues around revenue sharing, data access, and usage auditing could complicate the arrangement, especially given the political sensitivity surrounding U.S.-China relations. With the ongoing scrutiny from U.S. officials and concerns over data sovereignty in Europe, the outcome of these discussions will depend as much on broader geopolitical considerations as on the technical aspects of the partnership. For Moonshot, successful collaboration with these cloud giants could enhance its appeal for investors amidst plans for a $30 billion listing.