Deepseak is all the rage these days!! Some of you may be wondering what Deepseak is, but I think it would be good to know, so I’ve summarized the reasons why the Chinese AI Deepseak is all the rage.
First of all, in terms of performance, it is not much better than the US AI. But it is not that bad either. Based on the benchmark, it is currently showing a performance of around 5o from gpt4o, so it can be considered a leader. But its true value is that it is cheap.
It’s all cheap The model development cost is cheap and the printing cost is cheap. It only cost 8 billion won to develop this. Above all, AI development has focused on improving performance so far, but the problem is that the data and cost required to improve performance increase exponentially as the peak approaches. Deepseek doesn’t have that kind of money, and it’s hard to obtain high-performance H chips in large quantities due to the US’s sanctions on Chinese semiconductors, so it turned to efficiency instead. To put it simply, if traditional AI records up to 32 decimal places, what if Deepseek records only up to 8 decimal places? It’s accurate enough.
As a result, memory usage was reduced by 75%, and operating costs were reduced by 95% because it was built to call in experts only when necessary, rather than requiring one person to know all the knowledge of doctors, lawyers, developers, etc. In addition, it was released as open source. Meta was partially releasing the source code, and Open AI and Google had a tendency to hide it completely, but DeepSeek made it all public, so the response seemed to be bigger.
DeepSec was built to call experts only when necessary, instead of requiring one person to have the knowledge of all the doctors, lawyers, and developers, resulting in a 75% reduction in memory usage and a 95% reduction in operational costs. It was also released as open source. Open AI is also nervous, and has announced that the O-3 Mini, which used to be available for $200 per month, will now be available for $20. While the US still leads in performance in AI, China is working on a strategy of providing decent performance at a very low price, which will make the AI industry nervous.