Just after the announcement of the Chinese AI reasoning model Deep Seek R1 on 10 January 2025 funded by High Flyer a Chinese Hedge Fund and developed by Deep Seek a technology company. They launched it on both the IOS and Android stores with free to use feature. Within a few days, it became the most downloaded Artificial Intelligence based chatbot. i.e. more than Chat GPT itself.
It creates panic among Wall Street investors. The U.S. market has seen a record breaking sell-off in the technology stock listed in the U.S. stock market. The U.S. semiconductor tech. giant NVIDIA fell up to 18 % out of that 13% downfall reported in the single session.
Deep Seek created an Open Source Large Language Model (LLM). As Per the Founder R1 chatbot has equal capacity to the latest Chat GPT model.
They claim to develop this model with up to 10 thousand semiconductor chips way less than Open AI Model Chat GPT, with $ 6 million approx.
Open AI spokesperson claims that Deep Seek can not beat their generative AI Chat GPT model as it has more computing power due to high-power semiconductor chips produced by NVIDIA.
As Per the FMT newsletter, NVIDIA said “To compete with US models Deep Seek will require more CHIPS to enhance the computing power which is not possible without NVIDIA’s help”. The United States has already put sanctions on providing semiconductor chips to China Based companies hence there is a remote chance they will acquire more chips in the future.
In the coming days, the picture will be clear if Deep Seek surpasses Chat GPT or if it is just hype.
High Flyer co-founder Liang Wenfeng incorporated the Deep Seek company in 2023. They make their signature model R1 a Generative Artificial Intelligence model Chabot open source under the MIT license to freely use its code, and modify the source code both for commercial as well as noncommercial use.
Generative Artificial Intelligence based Chabot is a reasoning model that can solve several problems in a single click, such as writing an essay, a poem, a speech, or a presentation for you in a single click. It can solve any math problem or can write code for you. You just have to create a proper prompt to ask Chatbot what you want and within a few seconds it will create it for you.