DeepSeek has taken the US tech industry by surprise, causing a drastic plunge in the stock prices of major tech giants. But what’s behind all the buzz surrounding this new AI?
What Do We Know So Far?
Just yesterday, DeepSeek was a little-known Chinese startup. Today, it has shocked the artificial intelligence industry. This Chinese AI model directly rivals Google and OpenAI—and it doesn’t just compete with the established players, it outperforms them in certain domains.
To put this into perspective: OpenAI has been operational for 10 years, employs 4,500 people, and has raised $6.6 billion in capital. DeepSeek, on the other hand, was founded in 2023, has around 200 employees, and took only $10 million to become a fierce competitor.
The creators of DeepSeek-R1 claim their model was developed using less advanced, and fewer, computers compared to those used by US tech giants. In fact, DeepSeek’s development cost the startup less than $6 million—just a fraction of what major US companies spend on their AI projects.
What Next ?
There will undoubtedly be those who think China is now winning the AI race. However, we believe this isn’t necessarily a negative development, but rather an opportunity in disguise. Now, OpenAI, Google, Nvidia, and other US industry leaders will realize they don’t have the head start they once thought they had.
We strongly believe that this year will be a turning point for AI, with fascinating improvements, updates, and developments on the horizon.
