Anthropic accuses three rival AI labs—DeepSeek, Moonshot, and MiniMax—of industrial-scale theft of its Claude model's capabilities, according to Anthropic News. The company alleges these labs generated over 16 million exchanges with Claude through approximately 24,000 fraudulent accounts, violating terms of service and regional access restrictions. This illicit activity employed "distillation," a technique where a less capable model is trained on the outputs of a stronger one.
While model distillation is a legitimate method for creating smaller, more efficient AI versions, its use by competitors to acquire advanced capabilities rapidly and cheaply is deemed illicit. Anthropic reports these campaigns are escalating in sophistication, posing a threat beyond any single company.