Let's play a dumb game and assume that training a new model like K3 costs a billion dollars. (It doesn't, but let's play the dumb game still).

If you count it as part of the defense budget, it is 0.3% of their budget. As part of their education budget? 0.05%. Science? 0.5%.

It's pocket change. They can blow a dozen Kimis every year while their own industry is improving and it's a pain in the ass in the US's backside. They're laughing their asses off watching companies having their values inflated to trillions of dollars, more than the GDP of dozens of countries while producing nothing in value more than GPT 5.6.