In the last week of January 2025, the world’s AI market has been hit with a storm called Deep Seek. This Chinese AI company has struck the entire US tech industry such that the US has faced a loss of over a trillion dollars within the past week!
Let’s delve deeper into how Deep Seek has caused such a stir in the world’s economy, and which one is better: Deep Seek or Chat GPT.
What is Deep Seek?
Deep Seek is a Chinese start up based in Hangzhou that has the world talking. It has crashed the $600 billion market of NVIDIA, endangering the supremacy of US technology firms in the AI markets.
Deep Seek has launched its AI models which are at par if not better than industry leading AI models like Chat GPT. Here’s the interesting part. These models have been created by a fraction of the funding for US AI models and without Nvidia’s latest and most advanced chips.
Why has Deep Seek Disrupted the AI Market?
Deep Seek’s low cost yet equally competitive AI model has challenged the US technology firms who have been spending huge amounts of money on AI models, and raising their usage costs because of these heavy expenditures on their development.
Marc Anderson, a tech venture capitalist from the Silicon Valley has hailed the release of Deep Seek’s AI model as the ‘Sputnik Moment’ for AI developers.
Because of the launch of deep seek model, NVIDIA a leader in the production of semi-conductor chips used to power AI, has faced a loss of almost $600 dollars, after a decline of 17% in the stock market. The sudden emergence of Deep Seeks AI models has raised questions on the tech companies high market valuations.
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Distinctive Features of Deep Seek AI
Here are some interesting features of Deep Seek AI,
1. Deep Seek has designed its AI using the ‘Mixture of Experts (MOE)’. This model has different sections within one large system. This processes informationby handling specific tasks efficiently.
2. It’s been trained like a robot who was trained by looking at 14.8 trillion tiny puzzle pieces of words and sentences. Such a large data set helps it produce more accurate responses.
3. It has been created using comparatively cheaper H800 GPUs. To compliment these chips, the different approach to training the AI model is what has reduced its cost drastically.
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Is Deep Seek Better Than Chat GPT?
To know which of the two models is better, let’s do a DeepSeek vs. ChatGPT,
Deep Seek AI |
Chat GPT |
Built using the Mixture of Experts (MOE) architecture. |
Built on standard transformer-based model |
Trained by 14.8 trillion tokens (small pieces of information) |
Also trained on a vast data, but size is undisclosed |
Greater efficiency because of expert routing to specific tasks |
Requires very high computational power |
Powered by low cost H800 GPUs |
Powered by more advanced GPUs like A100 and H100 |
Less expensive due to efficient training strategies |
More expensive due to advanced hardware and extensive training |
Claims more accuracy because of large data training |
High accuracy depending upon prompt specificity with occasional mistakes |
Responds faster because of MOE architecture |
Fast speed depends upon the model being operated |
Based on the current information taken by highly technical users, deep seek is quicker and more accurate for technical and highly specified tasks. On the other hand, Chat GPT answers complicated queries and questions more effectively. For the common users both the AI models provide similar results, but Deep Seek does the job free.
This shows that both the models are almost at par with one another. One major difference is that deep seek is completely free of cost for users because of its cost-efficient design while Chat GPT requires users to pay for its more advanced versions.
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Did AI Really Lose its Job to Another AI?
These days the hype is about ‘Chat GPT’ losing its job to ‘Deep Seek AI’. Many people have made memes out of this pun. One user on Instagram commented. “So, China won the AI war with a fraction of the US AI costs before GTA 6!”. Another user commented, “It’s crazy how China did it in 1/100 of the total NVIDIA chips!”. Many other users questioned their choice of spending 200 bucks on Chat GPT premium versions, when all of it can be accessed for free on Deep Seek.
So, do you really think one AI model lost its job to another AI model?
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Should You Worry About the New AI Advancements?
The rapid advancement in AI language model has created fears in the minds of many young students. If you’re amongst them, your fears are understandable. What you must understand on your part is that you need to hug and not resist technological advancement in the current era.AI is not going to take your job; it will always be an assistant to you. However, the nature of jobs, and the technical skills required for them will evolve significantly in the coming decade. Instead of being afraid of this, you must prepare to adapt.
All the best for your career decisions! If you need any help in choosing the right career, you can contact us anytime.
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