DeepSeek, a Chinese AI company, has emerged as a disruptor in the AI market by creating models that perform comparably to established giants like OpenAI and Google but at a fraction of the cost. Their latest models, R1 and V3, illustrate that sophisticated AI development can be achieved for less than $6 million, contrasting sharply with the $100 million expenditure for competitors' models. This efficiency challenges the belief that only tech giants can manage AI training, leading to significant market shifts and contributing to Nvidia's stock market woes. DeepSeek’s business model combines free user access with charges for professional applications.
DeepSeek's ability to create efficient AI models for less than one-tenth the cost of traditional models is revolutionizing the industry and challenging established giants.
With their new R1 and V3 models, DeepSeek showcases that advanced AI can be developed much more affordably, disrupting the market and shifting perceptions.
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