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United States DeepSeek AI skyrockets in popularity; Alibaba and ChatGPT launch ...
Alex Perry | Cincinnati Enquirer
Trump: DeepSeek's cheap AI should be 'wakeup call' for US tech
Donald Trump says news of Chinese AI system DeepSeek should be seen as a positive. The U.S. president said it should just spur American tech firms to do better.
Competition is heating up for artificial intelligence — this time with a shakeup from the Chinese startup DeepSeek, which released an AI model that the company says can rival U.S. tech giants like OpenAI and Meta at a much cheaper cost.
President Trump said that DeepSeek's cost-efficient operations should serve as a "wakeup call" for U.S. tech companies and plans to push AI expansion, announcing last week a $500 billion investment to outpace rival nations, USA TODAY reports.
How DeepSeek is disrupting ChatGPT and other AI models
DeepSeek claims that it costs less than $6 million to train its DeepSeek-V3, per GitHub, versus the $100 million price tag that OpenAI spent to train ChatGPT's latest model. Following DeepSeek's announcement, AI chip manufacturer Nvidia's stock suffered the biggest one day loss in U.S. history, but it has since rebounded.
Why is DeepSeek so popular right now? How it provides AI that costs less
The company is said to use less-advanced chips to operate its AI, suggesting that the technology could be run at a much lower cost (20 to 50 times cheaper) than the hundreds of millions of dollars currently poured into AI from the U.S. tech industry.
DeepSeek's AI model is open source, meaning that it's free to use and modify. It has since topped the Apple App Store's Top Free Apps category, surpassing ChatGPT and Google downloads.
What is DeepSeek?
DeepSeek is a Chinese-based startup founded in 2023. The company launched AI models, DeepSeek-V3 and DeepSeek-R1, AI models that's said to meet, or even exceed, the sophistication of the many popular AI models in the U.S.
More AI competition from Alibaba, ChatGPT
Following the DeepSeek launch, Alibaba released an AI model that the company says outperforms DeepSeek, according to Reuters. The Chinese-owned e-commerce corporation's Qwen 2.5 artificial intelligence model adds to the AI competition in the tech sphere.
Not to be outdone, OpenAI has also rolled out its ChatGPT Gov AI tool this week, intended to be used by government agencies while still following internal safety protocols.
DeepSeek faces heightened scrutiny
It's not all smooth sailing for DeepSeek.
DeepSeek used OpenAI's model to train its software, according to the Financial Times, and says that it has evidence to back up the claim. DeepSeek's chatbot also delivered news and information with an 83% fail rate, Reuters reports, with false claims and vague answers.
Security concerns were also an issue, as the software was hit by cyberattacks on Monday, which temporarily hindered users from registering for the service. Given its connections to China, the AI could raise security concerns, similar to TikTok and Rednote.
