Chinese technology firm Alibaba Group (HKG:9988) banned its employees from using Anthropic's Claude Code at work, instead directing them to use its proprietary coding platform Qoder, amid a dispute after Anthropic accused the Chinese tech giant of a "distillation" effort involving its AI models, Reuters reported Monday.
Distillation is a method where a less capable AI model is trained using the outputs of a more advanced AI model, the report said.
The ban also comes after scrutiny of Claude Code's features that can identify users linked to China, according to the report.
Alibaba Group did not immediately respond to MT Newswires' request for a comment.
(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)
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