DeepSeek, a Chinese AI startup, made a significant impact in the US market this week with the release of its new ChatGPT platform. This led to speculation about the creators behind the development of superior and more advanced technology compared to their competitors.
The business was established by Liang Wenfeng, a billionaire skilled in quantitative finance, after the hedge fund High-Flyer shifted its focus to the AI industry due to regulatory challenges, according to The New York Times.
DeepSeek stands out from other Chinese tech companies by prioritizing research and development over consumer-focused tactics.
DeepSeek created an open-source AI model that outperformed American rivals in tests, influencing the US stock market.
The company excelled despite limitations on selling high-tech chips to China by focusing on providing business solutions, securing research funding, and minimizing the reliance on outside investments.
Research without focusing on immediate financial gain
Liang Wenfeng’s leadership focuses on improving research rather than prioritizing short-term profits. The company’s recruitment approach involves hiring professionals from diverse backgrounds, including humanities, to enhance their technological solutions.
This approach has led to progress in AI, such as creating a chatbot that exceeded ChatGPT in downloads in the US.
DeepSeek’s achievement led to discussions on China’s competitiveness with the US in artificial intelligence, as well as prompting inquiries into the efficacy of American sanctions and their potential effects on Silicon Valley’s dominance in the field.
The company’s actions led to discussions about its autonomy and the political outlook for its growth within the Chinese government.
Governmental attention
DeepSeek takes a cautious approach to politically sensitive matters concerning China, refraining from addressing issues related to the Chinese government and its activities in the international marketplace, alongside its influence on the tech industry.
Its partnership with the American company Baseten demonstrates a strategic effort to increase its global footprint.
DeepSeek’s approach enabled its quick expansion, even functioning with reduced expenses compared to its Western rivals.
The research was funded using profits from the stock market, which is different from American companies that rely on significant investments from technology funds.