DeepSeek AI is a large language model developed by the Chinese artificial intelligence company DeepSeek, based in Hangzhou, Zhejiang. The company was founded in July 2023 by Liang Wenfeng, who is also the co-founder of the Chinese hedge fund High-Flyer, which owns and funds DeepSeek36.
Key Features of DeepSeek AI:
- Open Source: DeepSeek’s models, including its flagship DeepSeek-R1, are open source, allowing developers to download, modify, and build upon them. This openness contrasts with other major AI models like OpenAI’s ChatGPT, which are not fully open source46.
- Cost Efficiency: DeepSeek claims to have developed its models at a significantly lower cost compared to other large language models. For example, the training cost for its V3 model was reportedly $6 million, much less than the hundreds of millions spent by competitors like OpenAI35.
- Performance: The DeepSeek-R1 model is designed to compete with leading models like OpenAI’s o1 in terms of performance but at a lower cost. It has 671 billion parameters and a context length of 128,000 tokens6.
- Market Impact: DeepSeek’s rapid success has disrupted the AI industry, causing significant market fluctuations. Its chatbot app quickly became the most downloaded free app on the iOS App Store in the U.S., surpassing ChatGPT26.
Concerns and Challenges:
- Privacy and Censorship: DeepSeek’s compliance with Chinese government censorship policies and its data collection practices have raised concerns about privacy and information control2.
- Regulatory Scrutiny: The company faces regulatory scrutiny in multiple countries due to these concerns2.
Overall, DeepSeek AI represents a significant shift in the AI landscape, offering a cost-effective and open-source alternative to traditional large language models.