There's a baby and bathwater situation here. If the US actually starts entertaining protectionism here, it might push most of the rest of the world (including places like the EU, India, South America, etc.) away from Openai and Anthropic towards other models not controlled by the US (which is mostly models made in China currently).

OpenAI and Anthropic kind of need that revenue to justify their current valuations. The US market by itself is too small for that. And if that money dries up, it's going to be much harder for them to maintain their technical head start. The US starting to impose all sorts of restrictions here would not be helpful.