Internet users who have tried Artificial Intelligence (AI) have confirmed its good results and affirm that the Chinese company has demonstrated that AI can have a negligible impact. The AI developed by the Chinese company, under the name DeepSeek and released as open source, has proven to be traceable and based on open data, performing just as well as the private option, according to users.
Also in pre-market, major U.S. technology companies such as Microsoft, Meta, Tesla, and the Dutch AMSL have experienced significant drops, reflecting market nervousness over China's intrusion into a market that Silicon Valley aimed to fully control. The launch of DeepSeek has revolutionized the AI market by using fewer resources and being able to operate with less powerful processors.
The small Chinese start-up responsible for DeepSeek required an initial investment of just 10 million dollars and employs approximately 200 people, in stark contrast to renowned AI companies. This situation, which puts valuable companies like Microsoft, Apple, or Nvidia at stake, demonstrates the vulnerability of the AI trade and questions the premise that large investments are needed for its development.
"It shows how vulnerable the AI trade still is, as any trade based on the assumption of an impenetrable advantage," mentions Luca Paolini, chief strategist at Pictet Asset Management, in statements to the Financial Times. The launch of DeepSeek has challenged the mantra imposed by Silicon Valley of needing large investments to develop AI, as this small Chinese company has managed to compete with established technologies with a more accessible and efficient approach.
