... Anthropic said it uncovered industrial-scale efforts by Chinese Labs ( @DeepSeek , Moonshot and @MiniMax-M2.5 ) to extract capabilities from its Claude models via distillation. According to Anthropic, the campaigns involved: 16M+ exchanges ~24,000 fraudulent accounts Proxy networks to bypass regional restrictions Targeted extraction of reasoning, coding and tool-use abilities Distillation is a common technique for training smaller models from larger ones. The controversy here is using a competitor