Tuesday, January 28, 2025

"American AI firms try to poke holes in disruptive DeepSeek"

It's not (just) poking holes in the story. Meta, among others, set up war rooms to tear the DeepSeek model apart.

From Reuters, January 28:

  • Top US AI labs analyze DeepSeek's low-cost models
  • Snowflake adds DeepSeek models amid customer demand
  • DeepSeek likely spent more than widely reported $6 million figure, experts say
Developers at leading U.S. AI firms are praising the DeepSeek AI models that have leapt into prominence while also trying to poke holes in the notion that their multi-billion dollar technology has been bested by a Chinese newcomer's low-cost alternative.

Chinese startup DeepSeek on Monday sparked a stock selloff and its free AI assistant overtook OpenAI's ChatGPT atop Apple's (AAPL.O), opens new tab App Store in the U.S., harnessing a model it said it trained on Nvidia's (NVDA.O), opens new tab lower-capability H800 processor chips using under $6 million.
As worries about competition reverberated across the U.S. stock market, some AI experts applauded DeepSeek's strong team and up-to-date research but remained unfazed by the development, said people familiar with the thinking at four of the leading AI labs, who declined to be identified as they were not authorized to speak on the record.

OpenAI CEO Sam Altman wrote on X that R1, one of several models DeepSeek released in recent weeks, "is an impressive model, particularly around what they're able to deliver for the price." Nvidia said in a statement DeepSeek's achievement proved the need for more of its chips.

Software maker Snowflake (SNOW.N), opens new tab decided Monday to add DeepSeek models to its AI model marketplace after receiving a flurry of customer inquiries.

With employees also calling DeepSeek's models "amazing," the U.S. software seller weighed the potential risks of hosting AI technology developed in China before ultimately deciding to offer it to clients, said Christian Kleinerman, Snowflake's executive vice president of product....
....MUCH MORE
 
And from Fortune via Asia Financial, January 28:
Meta Set up ‘War Rooms’ to Study DeepSeek AI Model – Fortune
Meta has reportedly established four “war rooms” with engineers to assess the AI model developed by Chinese startup DeepSeek, insiders have alleged 

US tech giant Meta has reportedly established four “war rooms” with engineers to assess the AI model developed by Chinese startup DeepSeek, according to a report by Fortune which cited information from The Information.

Meta boss Mark Zuckerberg is allegedly anxious to determine how the company, funded by a Chinese hedge fund, managed to release an AI game-changer that may already rival its own technology, it said.

DeepSeek, an AI startup backed by hedge fund High-Flyer Capital Management, this month released a version of its AI chatbot, R1, that it says can perform just as well as competing models such as ChatGPT at a fraction of the cost.

A senior Meta AI director reportedly told colleagues that DeepSeek’s newest model could outperform even the next version of Meta’s Llama AI, which they plan to release early this year, The Information reported on Sunday, citing employees with direct knowledge of Meta’s efforts.

Read the full report: Fortune.

Also at Asia Financial: