Liang Wenfeng's DeepSeek disrupts global AI market, triggers tech selloff

Liang Wenfeng, the founder of the Chinese AI startup DeepSeek, has emerged as a pivotal figure in the global AI landscape following the global release of DeepSeek's low-cost AI model, which has spurred a significant selloff in U.S. tech stocks, wiping nearly $1 trillion in market value. DeepSeek, which he founded in 2023, aims to challenge the dominance of established players like OpenAI by delivering advanced AI solutions at a fraction of the cost. Despite its rapid rise, Liang has maintained a low profile, giving only a couple of interviews prior to a recent symposium hosted by China's Premier Li Qiang, where he was recognized for his contributions to the tech sector. Analysts have noted that DeepSeek's success raises questions about the necessity of massive capital investments in AI innovations, as Liang's team, significantly smaller than that of OpenAI, has achieved notable breakthroughs. The launch of DeepSeek's free AI assistant could potentially democratize AI access, as Liang hopes that lower prices will enable wider usage. As the industry responds to this new competition, the implications for U.S.-China technology relations remain a critical concern.