Sakshi Batra explains the rise of DeepSeek R1—a groundbreaking AI model developed by a Chinese startup that is shaking up the global tech scene.
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00:00Move over chart GPT, the next big AI buzzword in the world is DeepSeek, a Chinese startup
00:13which is shaking up the tech world with its groundbreaking AI product release, the DeepSeek
00:18R1.
00:19For a long time, the global artificial intelligence race was dominated by US companies like OpenAI,
00:25Google, Meta, Nvidia.
00:27But what took these companies years and even hundreds of millions of dollars to create
00:33is now seeming to be under threat.
00:36There are news reports that indicate that DeepSeek has actually created a cutting-edge
00:40AI model, a new large-language model that's designed for advanced reasoning, problem-solving
00:47tasks just like chart GPT.
00:50The DeepSeek R1, in just less than two months and at a fraction of the cost, a Forbes report
00:56has indicated that DeepSeek has sent shockwaves through Silicon Valley with its AI model
01:01developed at just a cost of 5.6 million dollars.
01:05Now this model developers are based in China, they claim that DeepSeek R1 matches or even
01:12outperforms some of OpenAI's popular models like the chart GPT-01, but at a much lower
01:20cost.
01:21So what has this really led to do?
01:24Well, it is definitely threatening to disrupt the US company's dominance in the world of
01:30artificial intelligence.
01:32It has already triggered sharp sell-off in the US and Japanese stocks of these giants
01:38like Nvidia Stock Futures, slipped 3% in the intraday trade early today.
01:43We've also seen that other hand, we've seen Chinese and Hong Kong tech giants and tech
01:50shares are actually surging on the optimism of over DeepSeek's rapid rise, raising fresh
01:56questions about the future dominance of US tech giants like Google, Meta or even Nvidia.
02:04Another news report also indicates that DeepSeek has also surpassed OpenAI's chart GPT in download
02:10rankings on the Apple App Store in the US, achieving this feat within just one week of
02:17its launch.
02:19The emergence of this new company has also highlighted how Chinese AI companies are really
02:24finding innovative ways to overcome challenges like the US chip export sanctions.
02:31But the big question comes in to understand how does the DeepSeek R1 really compare to
02:36chart GPT?
02:37While full comparisons are still emerging for all of us to study deeper, early indicators
02:43do suggest that R1 performs particularly well in specialized areas like coding, in
02:49advanced mathematics and additionally, its smaller open-source versions are attracting
02:55attention from independent developers and startups, offering functionality similar to
02:59chart GPT-01 mini at a fraction of the cost.
03:03DeepSeek R1 could definitely reshape the AI landscape by providing a competitive alternative
03:10to the US-led models, while addressing the resource challenges faced by many developers
03:15worldwide as well.
03:17What we are also given to understand is that most of the experts also are questioning as
03:25to whether this will also create a competitive world when it comes to the kind of expectations
03:32in terms of investments in large AI-based models and their creation is done.
03:39Most of the experts do also mention that there is a threat of this disrupting the
03:45US company's dominance.
03:47And what is also under threat is that whether these companies will be continuing to do the
03:53capital outlay in their expansion in AI the way they have been doing so, will they continue
03:58to attract the investments that they have been seeking on creating such large cutting-edge
04:06technologies as well.
04:07But at the same time, China's foray in AI has actually got everyone in the Silicon
04:12Valley and the world talking on whether this will be a game-changing move in the world
04:16of artificial intelligence and what would it really mean for the future of investments
04:21that Google, Meta and Vidya really seek to create such models as well.
04:26However, in India there are also doubts being raised over the usage of apps like DeepSeek
04:33because of its Chinese origins and also because any apps or any new technologies that come
04:40into the world from the world of China are also deeply under scrutiny.
04:44But one thing is absolutely clear that the world of AI and the landscape is probably
04:50going to change with rising competition and with China coming into this game as well.
04:55We will continue to get you all those developments around DeepSeek and everything that you may
05:00need to know as these developments come to the fore.
05:04Do stay tuned on Business Today Television in case you want to really learn more about
05:08what's happening and buzzing in the world of technology.