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The AI Cold War 2025: DeepSeek Overtakes GPT-5, Trump Orders National Framework & The 58% Job Cut Risk

The global balance of AI power shifted seismically in the second week of December 2025. New benchmarks confirm that China's DeepSeek-V3.2 has surpassed GPT-5 in mathematics and coding efficiency. In a direct response, President-elect Donald Trump has announced an imminent Executive Order to establish a "Unified National Framework," overriding state laws to unshackle US tech giants. Simultaneously, open-source models like Zhipu's GLM-4.6V are rewriting the rules of software interaction, while a chilling economic report reveals that 58% of employers are actively using AI to "optimize" their workforce size. In this comprehensive Tekin Plus analysis, we dissect the battlefield—from algorithmic breakthroughs to the existential risk of human extinction.

1. Introduction: The West is No Longer the Only Superpower For the past three years, the narrative was simple: The United States innovates, and the rest of the world follows. OpenAI, Google, and Anthropic

were the undisputed kings of the hill. However, reports emerging this week (December 2025) have shattered that illusion. China has not just caught up; in specific, critical verticals like mathematical

reasoning and coding efficiency, they have arguably taken the lead. This reality has triggered a "Code Red" in Washington and Silicon Valley, transforming AI development from a commercial race into a full-blown

geopolitical standoff. 2. The Dragon Awakens: China's Technological Leap 2.1. DeepSeek-V3.2: The GPT-5 Killer? The most shocking news comes from the benchmarks of DeepSeek-V3.2 . This massive 685-billion

parameter model has stunned Western researchers. According to the 2025 Year-End Review, DeepSeek has matched or surpassed GPT-5 and Google's Gemini 3 in advanced mathematics and coding tasks. The Secret

Sauce: Sparse Attention. unlike the brute-force methods of early LLMs, DeepSeek utilizes a novel "Sparse Attention" architecture. This allows it to process extremely long contexts with 70% lower computational

costs compared to its American rivals. China now has a model that is arguably smarter in logic tasks and significantly cheaper to run at scale. 2.2. Zhipu AI and the Agent Revolution While DeepSeek dominates

logic, the Chinese startup Zhipu AI (Z.ai) is redefining how AI interacts with the world. They released GLM-4.6V as an open-source model. Its killer feature is Native Tool-Calling . Traditional models

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