> The US government should not be sending its data to a foreign adversary.

I agree. Wholeheartedly. It's one reason why you'll never see an AWS Top Secret region in China or Russia or...

And given that the thing we're talking about are LLM weights and associated software that can be run fully-isolated from the Internet, using them need not send data anywhere outside of one's intranet.

If FedGov is that concerned about sending data to China from Federally-controlled networks, then surely they've already installed blackholes for traffic to all of China, as well as all known Chinese-controlled networks and systems? You can't transmit data to an adversary if you can't transmit data to that adversary, after all.