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Is Deepseek more an attack on Wall Street than an AI innovation?

6 1
31.01.2025

HONG KONG, CHINA – JANUARY 28: In this photo illustration, the DeepSeek logo is seen on a phone in front of a flag of China on January 28, 2025 in Hong Kong, China. Global tech stocks have plummeted following the emergence of DeepSeek, a Chinese AI startup that has developed a competitive AI model at a fraction of the cost of its US rivals, sparking concerns about the high valuations of tech giants like Nvidia. This development has led to significant declines in tech shares across Asia and Europe, with markets in both regions experiencing notable losses as investors reassess the AI landscape and its potential impact on the industry’s future. (Photo illustration by Anthony Kwan/Getty Images)

The launch of Deepseek has been framed as the AI race’s Sputnik but the timing is dubious and questions are being asked about whether the tech is really as game-changing as its creators claim. Either way, America must stay vigilant, says Mark Minevich

It started with a single, seismic headline: China builds an AI model for just $6m.

The claim seemed almost too bold to be true. In an era where Western AI giants pour billions into training their latest large language models (LLMs), the number felt impossible – an engineered disruption, a bombshell lobbed directly at the heart of Silicon Valley’s AI dominance.

At the centre of the storm: Liang Wenfeng, the enigmatic founder of Deepseek, China’s rising........

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