Bookmark: DeepSeek: The Chinese AI Startup Reshaping The U.S. Tech Industry

“DeepSeek’s emergence has far-reaching implications for the AI landscape, particularly due to its open-source nature and its potential to reshape how we think about AI development”> DeepSeek: The Chinese AI Startup Reshaping The U.S. Tech Industry

DeepSeek, a Chinese AI startup backed by High-Flyer hedge fund, has recently drawn attention by claiming it can outperform leading AI models with its large language model, DeepSeek R1. By using Nvidia H800 GPUs, which are less advanced than Nvidia’s flagship H100 chips, DeepSeek developed this model at a fraction of typical costs, raising concerns about the economic assumptions associated with AI innovation in the US. Nvidia, known for its AI chips, experienced a significant drop in stock value due to fears that DeepSeek’s approach could reduce the demand for high-end GPUs. Despite DeepSeek’s assertions, skepticism remains, especially regarding the potential covert use of advanced chips and the veracity of their claims. Furthermore, the geopolitically charged environment, given DeepSeek’s Chinese origins, fuels concerns about security and propaganda. The open-source nature of DeepSeek offers potential benefits in democratizing AI access; however, it also underscores the urgency for the US to adapt and maintain its tech leadership by innovating efficiently and securely