DeepSeek AI is a Chinese artificial intelligence company that focuses on developing advanced language models and AI tools that emphasize reasoning.
It has quickly emerged as a significant competitor to OpenAI by offering models that blend performance with cost-effectiveness. DeepSeek is especially recognized for its AI models tailored for reasoning, coding, and natural language processing.
Origins and Foundation (2015 – 2023)
- DeepSeek began as Fire-Flyer, the artificial intelligence research branch of High-Flyer, an elite Chinese quantitative hedge fund.
- High-Flyer was established in 2015 and became the inaugural quant hedge fund in China to secure more than 100 billion RMB (approximately $15 billion).
- By the year 2023, Liang, an expert in computer science, decided to evolve the research branch into a separate AI enterprise called DeepSeek, aiming to create advanced AI models and pursue artificial general intelligence (AGI).
- In contrast to numerous Chinese AI companies, DeepSeek functions independently of major technology corporations such as Baidu, Alibaba, and ByteDance.
Initial Growth and Challenges (2023 – 2024)
DeepSeek’s primary strategy was to hire recent PhD graduates from leading Chinese institutions such as Peking University and Tsinghua University.
The organization embraced a culture centered on research, prioritizing essential AI developments over quick commercialization efforts. A significant issue emerged in late 2022 when the United States enacted export restrictions on advanced AI chips, including Nvidia’s H100. Although the company began with a reserve of 10,000 chips, DeepSeek needed to explore more effective methods for training its AI models.
The launch of DeepSeek V3 took place in early 2025, Marking a significant advancement in technology.
This advanced open-source large language model boasts an impressive 671 billion parameters. Remarkably, the development of this model was accomplished in a mere two months, with an investment of $5.5 million, utilizing Nvidia’s H800 GPUs.
In contrast, OpenAI’s GPT-4 project necessitated a remarkable expenditure of $100 million and a substantial six-month timeframe. Despite possessing fewer parameters, DeepSeek V3 showcased impressive performance, highlighting the effectiveness of its training techniques.
This achievement brought DeepSeek into the global spotlight, earning accolades from industry experts at both Nvidia and OpenAI for its groundbreaking methodology.
Key Features of DeepSeek AI
- DeepSeek-R1 – An advanced reasoning model that rivals those from OpenAI. It offers savings of 96-98% and accommodates long-context processing (up to 1 million tokens), making it suitable for intricate tasks like analyzing research papers.
- DeepSeek Coder – A dedicated AI model designed for programming tasks, trained in a variety of languages, and available in sizes from 1 billion to 33 billion parameters. It supports both English and Chinese and operates under an open-source license.
- DeepSeek Coder-V2 – An enhanced version that boosts performance in generating code, completing code, and debugging tasks.
- DeepSeek-V2 & V2.5 – Successive iterations of DeepSeek’s language models, fine-tuned for a range of AI applications, such as chatbots and content creation.
- Open-Source Approach – Unlike OpenAI’s proprietary models, It supports open-source AI, enabling researchers and developers to freely utilize and modify its models.
What Features Does This AI Have?
- Natural Language Processing (NLP) – It can understand user inquiries with greater accuracy.
- Multimodal Support – Besides processing text, it can also handle images and audio.
- Fast Processing Power – It is highly capable of complex calculations and data analysis.
- Developed According to Chinese Regulations – It adheres fully to China’s Cybersecurity Law, ensuring data privacy.
This recently crafted AI model, originating from China, is tailored for tasks related to natural language processing (NLP), data analysis, and enhancing human cognitive abilities.
Its Applications Span various sectors, including:
- Business automation
- Intelligent learning within the educational domain
- Research and analytical data processing
- Customer support
Is It Better Than OpenAI’s ChatGPT?
This AI model from China competes with OpenAI’s ChatGPT in several respects. Its features make it more localized and secure, potentially offering a better option for users in China. However, details regarding its global availability remain unclear at this time.
