U.S. tech companies expect to be able to charge forever rent on their A.I. models. Chinese companies, because they're backed by the state, are willing to forego this rent for future profit opportunities (probably around providing services to help deploy their open source models).
This means that if you're a startup who has limited funds and wants on-device AI, there are no Western AIs available because all of them want rents, so require an internet connection and ongoing payments. The only option is Chinese.