The AI world is buzzing with excitement. A new AI app called DeepSeek, developed by China, has taken the lead in popularity, leaving many established players behind.
DeepSeek’s impact is so big that U.S. tech stocks have taken a hit, with the tech index dropping by 700 to 800 points.
DeepSeek, like other AI apps, works on commands. You can get it to perform all the tasks you’ve been using other AI apps for. Now, you might wonder what’s so disruptive about this new app. The catch lies in the fact that, until now, American companies have dominated the AI space. Advanced chips essential for AI development are also primarily controlled by the U.S. As a result, things were running smoothly for American tech companies, which have been heavily investing in AI.
OpenAI has already gained worldwide recognition, and people have praised its capabilities extensively. However, during this time, a 40-year-old Chinese tech innovator named Liang Wenfeng introduced DeepSeek to the world. Although DeepSeek initially started in 2023, the recent updates have made it stand out.
According to reports in global media, DeepSeek’s researchers claim to have developed this app with a budget of just $6 million. In contrast, American companies and their investors have poured billions into similar technologies. However, this claim by Chinese developers is still disputed within the AI community, with many raising questions. The truth of these claims may take more time to be fully revealed.
If this claim turns out to be accurate, it could present a massive challenge to American tech companies, which rely on costly AI models and infrastructure. Meanwhile, DeepSeek focuses on creating low-cost AI models.
Interestingly, the emergence of DeepSeek comes at a time when the U.S. has restricted the sale of advanced chip technologies to China. Initially, DeepSeek’s development used high-tech A100 chips, but when the U.S. banned the export of these chips to China, DeepSeek’s developers adapted by pairing lower-end, cheaper chips to continue their progress.
Chinese AI developers collaborated and shared their experiments to work on new approaches for this AI technology. As a result, they successfully developed an AI model that requires significantly less computing power compared to its predecessors.
This is the story of DeepSeek, China’s groundbreaking innovation. What do you think about this development? Share your thoughts in the comments below. Also, let us know how AI has impacted your life
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