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DeepSeek is a Chinese artificial intelligence company that has gained significant attention for its chatbot and large language models (LLMs). Founded in July 2023 by Liang Wenfeng and backed by the hedge fund High-Flyer, DeepSeek launched its first chatbot, based on the DeepSeek-R1 model, on January 10, 2025. This chatbot quickly became the most downloaded freeware app on the iOS App Store in the United States, surpassing established competitors like ChatGPT.

Key Features of DeepSeek

  • DeepSeek-R1 Model: The chatbot is powered by the DeepSeek-R1 model, which is designed for advanced reasoning tasks and competes directly with models from leading AI firms such as OpenAI. The model reportedly has 671 billion parameters and utilizes a mixture-of-experts architecture to enhance efficiency and performance.
  • Cost Efficiency: DeepSeek has been noted for its significantly lower training costs compared to other major AI models. For instance, it trained its R1 model for approximately $6 million, a stark contrast to the hundreds of millions spent by competitors like OpenAI.
  • Open Weight Models: While not fully open-source, DeepSeek’s models are released under an open weight license, allowing some level of customization while maintaining lower modification freedom compared to true open-source software.
  • Rapid Market Impact: The launch of DeepSeek’s chatbot caused notable market reactions, including a sharp decline in Nvidia’s stock price due to concerns over competition in the AI sector.

Concerns and Regulatory Scrutiny

DeepSeek’s compliance with Chinese government censorship policies and its data collection practices have raised privacy concerns and prompted scrutiny from regulatory bodies in various countries. The rapid rise of DeepSeek has been described as a potential disruption in the global AI landscape, marking a new phase in AI competition.

Applications

DeepSeek’s technology is applicable in various domains, including:

  • Customer Support: Enhancing automated responses and interactions.
  • Content Creation: Generating articles, marketing material, and more.
  • Research Assistance: Providing information and insights based on user queries.

Overall, DeepSeek represents a significant player in the evolving AI landscape, challenging established norms and offering competitive alternatives to existing technologies.