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China's New AI Agent Risks Trapping Western Tech In Rights Abuses: Analysts
Authored by Jarvis Lim via The Epoch Times,
China's new state-backed artificial intelligence (AI) platform threatens to stifle domestic tech innovation through forced ideological compliance, and in the West, it could also be used to cover up the regime's human rights abuses, analysts warn.
A screen advertising Xinhua News Agency in Times Square in the Manhattan borough of New York City, on March 2, 2020. Andrew Kelly/ReutersXinhua, the official mouthpiece of the Chinese Communist Party (CCP), will spend more than 1.1 billion yuan ($162.38 million) to launch an AI agent to propagate Chinese leader Xi Jinping's thinking, according to a feasibility study published on its website on June 5.
Dubbed "Xinhua Yudian," the platform positions itself as an indispensable tool for journalists, a practical asset for party cadres, and a trusted information source for the general public, the study showed.
"Through 'Q&A on Xi's Words' and 'Xi Study Guide,' it presents the core essence and practical requirements of the general secretary's important discourses," the report said.
In 2023, China passed the "Interim Measures for the Management of Generative Artificial Intelligence Services," prohibiting content that could incite subversion, threaten national security, or damage the country's image.
The measures require market participants to "uphold the core socialist values," according to a translation.
Cementing ControlFeng Chongyi, an associate professor in China studies at the University of Technology Sydney, said Xinhua's latest move signals that Beijing views every new AI technology developed domestically as a tool to consolidate its grip on power.
"This shows the CCP is attempting to reinforce the personality cult around Xi Jinping," Feng told The Epoch Times.
"Xi has already rolled out similar initiatives, requiring middle schoolers and party cadres to study and even take exams on his political ideology."
Charles Cheng-chung Lo, a professor with the Graduate Institute of Science and Technology Law at the National Kaohsiung University of Science and Technology in Taiwan, said the regime aims to aggressively marshal national resources in AI and technology to protect its "political security."
"Political security means safeguarding the CCP's leadership and ruling status, as well as its socialist system with Chinese characteristics," Lo told The Epoch Times.
"Under such a system, all technological development naturally faces strict state regulation based on this political premise."
'Extreme Self-Censorship'Lee Chung-chih, deputy convenor of the Strategic Industries Program at Taiwanese think tank the DIMEs Center, said China's generative AI models, such as DeepSeek, are engineered to strictly conform to Party dogma, leaving them unable to provide objective answers on political, historical, and social issues.
The rise of agentic AI - autonomous software systems capable of taking action and performing complex tasks on behalf of users - is set to entrench that dynamic further, he said, pointing to Xinhua Yudian as the latest example.
"This is completely detrimental to the verification and creation of knowledge," Lee told The Epoch Times.
"China is currently locking its society into an 'isolated universe.'"
Lee said the platform's proposed functions, such as content inspection, traceability, correction, and guided documentation, could prompt Beijing to demand that private AI firms align with Xinhua's standards.
"If private AI developers refuse to comply, the sector could wither and talent may flee," he said.
Lee warned that pushing these rigid censorship standards to the extreme would lock China's entire information ecosystem into a cycle of ideological compliance, stifling genuine innovation.
"Chinese journalists and scholars will start using AI to engage in hyper-conformity, aiming to outdo the state's own narratives and push even further left," Lee said.
"This extreme self-censorship just to please the authorities will leave them completely blind to genuine technological breakthroughs or geopolitical crises from the outside world."
Global InfiltrationLo said foreign AI products and services seeking to integrate with this state-run platform will likely face surveillance under Xi's concept of "comprehensive national security" - an overarching doctrine where ideology now dictates all aspects of Chinese governance.
"In other words, the price of tapping into China's vast market is strict localized regulation," Lo said.
He said that securing this access could mean filtering out factual answers on sensitive topics, such as the 1989 Tiananmen Square democracy movement, to meet Beijing's political red lines.
"The likelihood of self-censorship will increase as ideological screening becomes the inevitable compliance cost for entry," Lo said.
But the risks could extend further, as any Western tech firms that choose to partner with platforms like Xinhua Yudian may inadvertently become tools of CCP repression, according to Feng.
"Many companies operate under the belief that technology knows no borders, selling their products to the CCP," Feng said.
"What they fail to realize is that Beijing could harness their advanced technology on Xinhua Yudian and others to further violate the privacy and human rights of ordinary people."
Feng said that adopting these authoritarian standards could ultimately backfire, endangering the developers' own home nations.
"If democratic societies fail to counter Beijing's cognitive warfare, Western AI systems forced into compliance will essentially hand the regime a digital backdoor," he said.
"It allows China to push this warfare seamlessly across frontiers, severely subverting the international order."
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North Korea Rips Fresh Western Criticism Of Expanding Moscow Relationship
North Korea fired back on Saturday and lashed out at the Washington-Seoul alliance, tearing into a fresh South Korea-EU joint statement that condemned Pyongyang's deepening military alliance with Russia.
North Korea has increasingly over the past acknowledge a significant number of troops sacrificed in support of Russia and in the context of the brutal and grinding Ukraine war.
The Western-aligned statement, inked Wednesday during South Korean President Lee Jae Myung's high-profile trip to Brussels, took direct aim at the "illegal military cooperation" fueling the war in Ukraine.
"We condemn support by third parties, in particular the DPRK, which enables Russia to sustain its war of aggression against Ukraine," the statement said.
A fully anticipated, North Korea's foreign ministry quickly hit back through the state-run Korean Central News Agency, framing its axis with Moscow as a mere "exercise of sovereign rights."
Russia and North Korea under Presidents Putin and Kim have even signed a defense, technology and economic cooperation pact relatively recently.
The ministry didn't mince words, calling the joint condemnation a "clear infringement on the sovereignty of our state and a grave hostile act," while pointedly reminding everyone that South Korea remains the North's primary "enemy state."
Pyongyang has of late branded Seoul as Washington's "favorite dagger" in alleged grand American plot aimed at "invading... the Asian continent.”
The reference was a play on words after General Xavier Brunson, the top American military commander in South Korea, raised eyebrows last month by provocatively describing his host nation as "the dagger in the heart of Asia."
Both North Korea and China have seized on Brunson's slip of the tongue, painting it as proof of Washington's true playbook ofusing Seoul to contain Beijing.
With North Korean leader Kim Jong Un already putting his money where his mouth is - shipping troops and heavy munitions to bolster Vladimir Putin’s front lines - the war in Ukraine has slowly been morphing into more than just a EUropean crisis.
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Why The Millionaire Next Door Drives A Used Car - And What That Teaches About Real Wealth
Authored by Peter Daisyme via Due,
The wealthiest person I know personally drives a 2018 Toyota Camry. He owns three rental properties, has over $2 million in investment accounts, and could buy any car on any lot without blinking. He chooses not to, and his explanation is both simple and profound: "A car is a tool that takes you from one place to another. Everything beyond that is a payment for other people's perception of you."
Income alone doesn't create wealth. The key is the gap between what you earn and what you spend. Morakod1977/ShutterstockThat conversation rearranged how I think about money, status, and the difference between looking wealthy and actually being wealthy. And the more I studied the habits of genuinely rich people - not the Instagram version of rich, but the people with real, substantial, enduring wealth - the more I found that his approach was the rule, not the exception.
The Wealth IllusionWe live in a culture that equates visible consumption with financial success. A nice car, a big house, designer clothes, expensive vacations - these are the signals we use to judge who has money and who does not. The problem is that those signals are almost perfectly inverted from reality.
The person leasing a $70,000 SUV might have a negative net worth. The person buying rounds at the bar might be maxing out a credit card. The couple who just renovated their kitchen might have raided their retirement accounts to pay for it.
Meanwhile, the person with $1.5 million in the bank is wearing jeans from Target, driving a paid-off Honda, and eating dinner at home. They do not look wealthy because they channeled the money that would create the appearance of wealth into building actual wealth.
This is not a new observation - the book "The Millionaire Next Door" documented it decades ago - but it bears repeating because the cultural pressure to spend for status has only intensified with social media. Every platform is designed to show you people living aspirational lifestyles, and the psychological pull to keep up is relentless.
The Math Of Lifestyle InflationThe mechanism that keeps high earners from building wealth is lifestyle inflation - the tendency to increase spending proportionally (or faster) as income grows. A $10,000 raise should accelerate wealth building. Instead, it usually gets absorbed by a nicer apartment, a better car, more dining out, and upgraded vacations.
Consider two people who both earn $100,000 per year. Person A spends $90,000 and saves $10,000. Person B spends $70,000 and saves $30,000. After 20 years of investing at a 7 percent annual return, Person A has about $410,000. Person B has about $1,230,000. They earned exactly the same amount. The difference is entirely in spending decisions.
The gap gets wider as incomes grow. If Person B receives raises over the years and keeps spending at $70,000 while saving the difference, their accumulation accelerates dramatically. Person A, who upgrades their lifestyle with every raise, stays on the same slow trajectory regardless of how much more they earn.
This is why income is a poor predictor of wealth. The correlation between earning and accumulating is much weaker than people assume. The real predictor is the gap between earning and spending - and that gap is a choice.
What Actually Wealthy People Spend OnAfter studying the spending patterns of people I know who have built significant wealth, a clear pattern emerges. They spend freely on what matters to them and ruthlessly cut everything that does not.
One friend spends generously on travel - international trips, business-class seats on long flights, quality hotels. But she drives a ten-year-old car and lives in a modest house. Travel brings her joy and enriches her life. The car is transportation. The house is a shelter. She allocates accordingly.
Another friend spends very little on himself personally but funds his children's education and activities without hesitation. His wardrobe is basic. His entertainment spending is minimal. His kids' college accounts are fully funded.
The common thread is intentionality. Wealthy people do not spend less overall because they are cheap - they spend less on things they do not care about, so they can spend more on things they do care about and invest the difference. They have examined their own values and aligned their spending with those values rather than with social expectations.
The Status TaxI think of unnecessary status spending as a tax - the status tax. It is the premium you pay for goods and services, not because they perform better, but because they signal wealth or taste to others.
A $300 watch tells time just as well as a $5,000 watch. A $30,000 car gets you to work just as reliably as a $60,000 car. A $2 coffee tastes nearly identical to a $6 coffee with a designer label on the cup. The difference in price is the status tax, and over a lifetime, it is enormous.
If you spent $500 a month less on status consumption - the car upgrade, the brand-name clothes, the visible luxury purchases - and invested that $500 at 7 percent, you would have roughly $260,000 after 20 years. That is the real cost of caring what strangers think about your car.
I am not arguing that you should never buy nice things. I am arguing that you should buy them because they genuinely improve your life, not because they improve how other people perceive you. The distinction is everything.
Building Wealth The Boring WayThe actual wealth-building formula is anticlimactic. Earn a reasonable income. Spend significantly less than you earn. Invest the difference in diversified, low-cost index funds. Do this consistently for 20 to 30 years. That is it.
No one gets famous for this approach. No one writes viral social media posts about it. No one makes a documentary about the person who maxed out their 401(k) every year and retired comfortably at 60. But that person exists in enormous numbers, and they are far wealthier than the influencer showing off a rented sports car.
The boring approach works because it harnesses the only truly reliable wealth-building force: time and compound growth. A portfolio growing at 7 percent doubles roughly every 10 years. $100,000 at 35 becomes $200,000 at 45, $400,000 at 55, and $800,000 at 65. But only if you leave it alone and keep adding to it.
The wealth-building strategies that work in your 30s are the same strategies that work at any age. They just work better the earlier you start.
How To Resist The PressureKnowing the right approach and actually following it are different things. The pressure to spend for status comes from everywhere - advertising, social media, peer groups, family expectations, and your own psychology.
Here are the tactics that work for me. First, I curate my information diet. I unfollowed accounts that showcase luxury consumption and followed accounts that discuss financial independence and intentional living. What you see shapes what you want, so be deliberate about what you see.
Second, I calculate the real cost of purchases in hours worked. A $200 dinner after taxes costs me about six hours of work. Is that dinner worth six hours of my life? Sometimes yes. Often no. This reframing makes spending feel real rather than abstract.
Third, I keep my financial goals visible. I have a spreadsheet that projects my net worth at five-year intervals. When I am tempted to make a large discretionary purchase, I consider what that money would become in 10 years if invested instead. Seeing the compound growth I would forfeit is a powerful deterrent against impulse spending.
Fourth, I surround myself with people who share my values around money. Peer influence is the strongest force in spending behavior. If your friends measure success by possessions, you will spend to keep up. If they measure it by freedom and security, you will save to keep up.
The Ultimate Status SymbolThe wealthiest people I know share one trait that no purchase can replicate: they have options. They can leave a job they dislike without panic. They can handle an emergency without debt. They can retire when they choose rather than when they must. They can help family members without compromising their own stability.
That kind of freedom is the real status symbol, even though nobody can see it from the outside. It does not fit on a bumper sticker or in an Instagram photo. But it is the thing that every person chasing visible wealth is actually searching for - the security and peace that come from knowing you are financially independent.
My friend with the Camry has that freedom. And if you asked him, he would tell you it is worth more than every luxury car on the road combined.
The views and opinions expressed are those of the authors. They are meant for general informational purposes only and should not be construed or interpreted as a recommendation or solicitation. ZeroHedge does not provide investment, tax, legal, financial planning, estate planning, or any other personal finance advice. ZeroHedge holds no liability for the accuracy or timeliness of the information provided.
Tyler Durden Sat, 06/13/2026 - 21:00