Almost Every Gadget You Own Is Built on One Street in China

Elon Musk is renting 220,000 GPUs to Anthropic, the company he called "evil" three months ago. Around 90% of the world's consumer electronics come together on one street in Shenzhen, plus Labubu, the no-SaaS economy, and whether Anthropic's growth is even possible. The AI power play everyone is arguing about: Elon Musk is renting 220,000 GPUs to Anthropic, the same company he called "evil" only three months ago. The logic is enemy's-enemy game theory. Elon is fighting OpenAI, Anthropic is OpenAI's rival, so the compute flows to the rival. Can Anthropic really sustain 10x-a-year growth and pass the Magnificent Seven, or is that pace physically impossible? The made-in-China reality. Around 90% of the world's consumer electronics come together on one Shenzhen street, the Huaqiangbei district, no matter whose brand is on the box. Even US robotics startups funded by Silicon Valley VCs have to fly to China to build a prototype. It reframes what "made in China" actually means. Pop Mart's Labubu runs on the same dopamine loop as a slot machine, blind-box by blind-box, and about 38% of Pop Mart revenue reportedly comes from that one toy line. A brand, or a bubble? There is also the rest of the US-China business map. China has almost no SaaS industry, and the reason is labor economics rather than a technology gap. Why a one-year-old LA pillow brand is reportedly doing around 20 million dollars a month through Chinese suppliers, per a contact of Chris's investor, by winning on quality instead of racing to the bottom on price. And why no Chinese government official is allowed to drive a Tesla, because it is "a computer with four wheels" and that is a surveillance risk. With Chris Sun (CEO of BrandPal) and Ryan Kearney, an American entrepreneur based in Chengdu. Topics: Elon Musk, Anthropic, and 220,000 GPUs. Anthropic vs OpenAI and the AI bubble. The Magnificent Seven and Nvidia. Made in China, Huaqiangbei, and Shenzhen electronics. Labubu, Pop Mart, and the blind-box economy. China and SaaS, AI agents, and the future of work. A pillow brand on TikTok Shop. China banning officials from driving Tesla. Supply chain and cross-border ecommerce. #Anthropic #USChina #AI