Experts Warn Congress of Chinese Spies Targeting US AI Labs

Former U.S. officials testified before the House Intelligence Committee on July 21, 2026, warning that China's intelligence services are aggressively targeting American artificial intelligence companies to steal proprietary technology. The hearing, focused on threats 25 years after 9/11, highlighted that U.S. counterintelligence efforts have not kept pace with Chinese espionage tactics, including model distillation and embedding spies in firms. Experts including Frank Cilluffo, H.R. McMaster, and Ben Buchanan argued for a rethinking of counterintelligence beyond traditional spy-versus-spy methods. Buchanan criticized the Trump administration's easing of chip export restrictions to China, urging stronger enforcement. The hearing noted that while quantum computing has a dedicated counterintelligence framework, AI lacks an equivalent directive, leaving private sector AI labs vulnerable.