China's new DeepSeek R1 language model has been shaking things up by reportedly matching or even beating the performance of established rivals including OpenAI while using far fewer GPUs. Nvidia's response?
For now, it's unclear how resource intensive the Qwen 2.5-Max is or is not. The thing that really rattled the markets when it comes to DeepSeek R1 arguably isn't its outright perf
While companies like DeepSeek may find success in certain market segments, they face an uphill battle against this massive capital advantage. In other words, claims that demand for Nvidia's premium chips will collapse simply don't align with market realities and the trajectory of AI development.
In what marks the largest single-day drop in stock market history, Nvidia's valuation has been hit by China's answer to ChatGPT.
Did the upstart Chinese tech company DeepSeek copy ChatGPT to make the artificial intelligence technology that shook Wall Street this week
The DeepSeek chatbot, known as R1, responds to user queries just like its U.S.-based counterparts. Early testing released by DeepSeek suggests that its quality rivals that of other AI products, while the company says it costs less and uses far fewer specialized chips than do its competitors.
DeepSeek claims it costs them less than $6 million to train its latest AI models, while it costs ChatGPT $100 million. DeepSeek is able to charge only $0.14 per 1 million input tokens, compared to $15 at OpenAI. Token input pricing has to do with the amount of text that goes into training the AI language models.
Barrett Woodside, co-founder of the San Francisco AI hardware company Positron, said he and his colleagues have been abuzz about DeepSeek.
NVIDIA, the world's most valuable company until Monday, lost $600 billion of market value in a single day, the biggest in US stock history.
Shares for leading US chip firm Nvidia dropped by almost 17% on Monday after the emergence of DeepSeek stunned Silicon Valley.
DeepSeek’s AI models reportedly rival OpenAI’s for a fraction of the cost and compute.