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Story summary
- StepFun, a Shanghai-based AI start-up, launched Step 3.5 Flash, claiming it rivals DeepSeek and Moonshot AI despite 196 billion parameters.
- The company asserts Step 3.5 Flash delivers advanced reasoning and agentic functions with higher efficiency.
- StepFun reports it topped four reasoning benchmarks, though it was outperformed by Microsoft-backed OpenAI in some tests.
- The competition in China's AI sector continues to intensify.
