Reality set on what China’s Deek Seek really is; not a Holy Schnikes!! but rather a five trumpet wake up call in for US to elevate leadership focus with both feet down on the innovative gas pedal! No resting on laurels in the middle of competition with everything to win and little to lose.
U.S. stocks ended higher on Tuesday, with Nvidia, and other artificial intelligence-linked technology shares recovering from sharp losses the previous day as investors snapped up bargains.
The Nasdaq jumped 2% and AI chip leader Nvidia rose 8.9%, a day after its 17% drop erased about $593 billion from its market value in the biggest single-session loss for any company.
The S&P 500 technology sector rallied 3.6% in its biggest daily percentage gain since July 31, while an index of semiconductor shares gained 1.1%.
So what does all this mean?
🚀 Raise the intense drive, focus, intention, innovation, and thrust of US based tech companies to push harder, faster, and with more intensity.
🚀 Meta promised a new “leading start of the art” AI model named “Llama” and pledged more investment.
🚀 OpenAI Sam Altman wrote on X that DeepSeek’s R1 model is “impressive,” specifically because of it’s alleged $6M price tag to develop
🚀 Microsoft’s CEO Nadella, posted that “Jevons paradox is at play again,” referencing the concept that greater efficiency in production often fuels higher demand. “As AI becomes more efficient and accessible, its adoption will soar, transforming it into an indispensable commodity.”
🚀 Intel’s former CEO believes DeepSeek will expand the AI market instead of diminishing it (creates a bigger pie)
In summary, a big “Bring It!” and put the pedal down in the most innovative ways; and be wary of your data!
China’s DeepSeek took over rival OpenAI’s coveted spot as the most-downloaded free app in the U.S. on Apple’s App Store, dethroning ChatGPT for DeepSeek’s own AI Assistant.
Additionally, in the midst of ongoing caution and fears with TikTok, China’s generative AI platform Deep Seek is in effect pulling a vortex of US user data straight to China.
Some key facts to know:
Deep Seek is essentially built on ChatGPT’s foundation. The latest R1 version, for example, is based on ChatGPT 01. The communicated cost of this of $6M+ price tag, a drop in any bucket of tech, if this is true, is only possible because OpenAI already spent billions building the “base model” that Deep Seek “lifted” and fine-tuned/took as their own.
In fact, Deep Seek is just an optimized, upgraded version of ChatGPT4o. It’s not leading AI innovation; it’s more like a byproduct of the foundational work OpenAI already did. It seems nothing has changed with what China has done for decades, R1 being just another example of their replication of US innovation.