DeepSeek AI Shakes Global Markets, Challenges Tech Giants

The recent launch of China's AI model DeepSeek has significantly impacted global financial markets, leading to substantial losses for companies like Nvidia, as it challenges the dominance of Western tech giants with its low-cost, high-performance capabilities. DeepSeek's innovative design, utilizing the Mixture of Experts (MoE) architecture, allows for efficient and scalable AI solutions at a fraction of the cost of competitors like OpenAI. The model's commercial success has sparked interest and concern in Silicon Valley, with some viewing it as a potential shift in AI power towards China. This development has also prompted discussions about the efficacy of U.S. export controls on advanced chips, as the model was developed without access to cutting-edge semiconductors. Additionally, there are concerns over potential censorship, though Perplexity AI, which integrated DeepSeek, insists their version is uncensored.