29 January 2025

How China’s new AI model DeepSeek is threatening U.S. dominance


In a recent CNBC video (BELOW) titled “How China’s New AI Model DeepSeek Is Threatening US Dominance,” the emergence of DeepSeek’s latest AI model, DeepSeek-R1, is examined as a significant development in the global AI landscape. DeepSeek, a Chinese startup that evolved from the hedge fund High-Flyer, has focused on artificial general intelligence research.

In response to U.S. export controls, the company adopted innovative development strategies, emphasizing software-driven resource optimization and unique model architectures. This approach allowed them to achieve significant advancements with limited resources. Notably, DeepSeek chose to open-source their model under the MIT license, promoting collaborative innovation and potentially challenging current U.S. AI export limitations. The DeepSeek-R1 model employs reinforcement learning techniques, enabling advanced reasoning capabilities without supervised data, leading to performance levels comparable to leading Western models. These developments highlight China’s potential to rival Silicon Valley in AI advancements and raise questions about the future balance of power in the AI sector.

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