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African News Herald > Blog > Lifestyle > DeepSeek rattles and shocks US tech sector with new AI model
Lifestyle

DeepSeek rattles and shocks US tech sector with new AI model

ANH Team
Last updated: January 29, 2025 3:41 am
ANH Team
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DeepSeek-R1, a groundbreaking artificial intelligence (AI) model developed by Chinese firm DeepSeek, has taken the tech world by storm with its impressive capabilities that rival those of US tech giants like Google and OpenAI. What sets DeepSeek apart is that it was created using less advanced and fewer computer chips than its Western counterparts, making it a cost-effective and efficient solution for AI development.

What can DeepSeek do? This versatile AI model is available as an app or on desktop and can perform a wide range of tasks, from writing song lyrics to helping users create personal development plans or even suggesting recipes based on the ingredients in their fridge. DeepSeek’s AI chatbot is also capable of communicating in multiple languages, with a particularly strong proficiency in English and Chinese. Its popularity skyrocketed over the weekend, making it the most downloaded free app on Apple’s US App Store, surpassing even OpenAI’s ChatGPT.

In a recent research paper, DeepSeek’s development team revealed that they had spent less than $6 million on computing power to train the model, a fraction of the hefty budgets allocated by US tech giants for AI development. This cost-effective approach has not only caught the attention of industry insiders but also prompted US President Donald Trump to acknowledge DeepSeek as a “wake-up call” for American firms. Trump emphasized the need for US industries to focus on competition and innovation in order to stay ahead in the rapidly evolving tech landscape.

Founded in 2023 by entrepreneur Liang Wenfeng, DeepSeek is based in Hangzhou and has quickly made a name for itself in the AI industry. Liang, known for his expertise in combining technology and investment, has a history of success in leveraging AI for trading strategies. With a background in computer-directed investment, Liang’s ventures have paved the way for DeepSeek’s groundbreaking AI model that has captured the attention of tech enthusiasts worldwide.

See also  Is China's Large Language Model Really A 'Disruptor'?

In conclusion, DeepSeek’s emergence as a formidable player in the AI space serves as a testament to the power of innovation and cost-effective solutions in driving technological advancements. As the global tech sector continues to evolve, DeepSeek’s success story stands as a reminder of the endless possibilities that AI technology can offer for businesses and consumers alike.

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