Chinese Company DeepSeek Revolutionizes AI with Low-Cost, High-Performance Models

Beijing:In recent years, artificial intelligence (AI) has seen exceptional advancements, particularly in natural language processing, data analysis, and decision-making. Among the key players in this race, Chinese company DeepSeek has made a groundbreaking achievement that has shaken the foundations of the global AI market. DeepSeek’s success not only reflects technological superiority but also challenges the economic and practical boundaries of the AI field.
Founded in 2023 in Hangzhou, China, DeepSeek has developed an AI model that not only competes with the best but surpasses them in many aspects. The company’s primary goal is to create a General Artificial Intelligence (AGI) that can improve various aspects of human life. DeepSeek’s innovative models and creative techniques have garnered worldwide attention.
**DeepSeek-R1: A Technological Masterpiece**
DeepSeek’s model, DeepSeek-R1, represents a significant technological breakthrough. The model consists of 671 billion parameters, but it utilizes a new technique, known as MoE (Mixture of Experts), which activates only 37 billion parameters per input. This reduces energy consumption and makes the model’s processing much more efficient. The training cost of DeepSeek-R1 was only $5.6 million, whereas similar models like OpenAI’s GPT-4 typically cost over $100 million to train.
Additionally, DeepSeek employed Reinforcement Learning techniques to train the model without large data sets, enhancing its logical reasoning and problem-solving abilities. This made DeepSeek-R1 more effective compared to other models.
**Economic and Practical Revolution**
One of DeepSeek’s most impressive achievements is the reduction of AI model development costs by almost 95%. Unlike other companies that rely on thousands of GPUs, DeepSeek only used 2,048 GPUs for training. What’s more, the model is efficient enough to run on gaming GPUs, eliminating the need for expensive hardware typically used in data centers.
Moreover, DeepSeek has made its model open-source, allowing developers worldwide to access it for free and contribute to its improvement. This open-source licensing not only promotes technical innovation but also reduces costs for end-users.
**Global Market Impact**
DeepSeek’s success has created significant disruption in the global AI market. Large American companies, such as OpenAI, have already faced criticism for their expensive models, but DeepSeek’s cost-effective and efficient models have clearly challenged their dominance. Following DeepSeek’s launch, companies like NVIDIA, which rely on GPU sales, are seeing a decline in demand for their products. Additionally, the global stock market saw a $1.5 trillion loss, further highlighting that DeepSeek has proven its superiority not only on a technological level but also economically.
**China’s Leadership in the AI Race**
DeepSeek’s success underscores the rapid advancement of China’s technology industry and its growing role in the global AI market. This achievement is not only a win for one company but a signal that China is at the forefront of cutting-edge technology. DeepSeek’s innovative approach demonstrates that technological advancement requires not only resources but also creative thinking and a fresh perspective.
DeepSeek’s triumph is not just a challenge to large American companies but also an inspiration for researchers and engineers worldwide to adopt new ideas and strategies to make technology more effective and accessible. DeepSeek’s leadership in the AI race has made it clear that the future of technology will belong to those who are the most forward-thinking and embrace innovative techniques.





