Sharp Daily
No Result
View All Result
Friday, September 19, 2025
  • Home
  • News
    • Politics
  • Business
    • Banking
  • Investments
  • Technology
  • Startups
  • Real Estate
  • Features
  • Appointments
  • About Us
    • Meet The Team
Sharp Daily
  • Home
  • News
    • Politics
  • Business
    • Banking
  • Investments
  • Technology
  • Startups
  • Real Estate
  • Features
  • Appointments
  • About Us
    • Meet The Team
No Result
View All Result
Sharp Daily
No Result
View All Result
Home News

DeepSeek’s rise sparks questions on AI models and industry trends

Teresiah Ngio by Teresiah Ngio
January 27, 2025
in News
Reading Time: 1 min read

The Chinese AI startup DeepSeek is gaining significant attention with its innovative approach to artificial intelligence, prompting discussions around its impact on the AI landscape and associated investments. On Friday, concerns arose about the implications of its performance-topping models, which rely on open-source technologies like Llama and a low-cost strategy. Analysts noted that these advancements challenge the need for significant capital expenditure on high-end AI infrastructure, with companies like NVIDIA seeing a 3% drop in share value.

DeepSeek’s R1 AI model has achieved a noteworthy milestone, ranking #3 among Top Free Apps on the iTunes Store. It offers a “PhD-level” AI at an economical rate of $2.19 per million output tokens compared to OpenAI’s $60 for similar usage. Some industry professionals have highlighted that this affordability has not been widely discussed, particularly in sell-side analyses. This omission could lead to uncertainties regarding the wider adoption and perception of DeepSeek’s capabilities.

The company has been commended for its use of reinforcement learning techniques, which reportedly optimize training costs and reduce complexity. DeepSeek claims its 1.5 billion-parameter R1 model outperforms industry standards, including GPT-4 and Claude 3.5, in select tasks, with minimal hardware requirements. For instance, the R1 model can reportedly operate on devices as simple as an iPhone 16.

Despite these breakthroughs, questions have been raised about DeepSeek’s originality. Critics have likened its approach to copying, citing statements from prominent figures like Sam Altman, who emphasized the risks of derivative models in achieving long-term success. Additionally, DeepSeek’s $6 million training budget has sparked skepticism regarding its scalability compared to competitors with larger investments.

RELATEDPOSTS

No Content Available

Lastly, geopolitical factors loom large. Some have expressed concerns about the potential impact of export restrictions, particularly from the U.S., on DeepSeek’s future growth. However, others argue that its efficient, low-cost framework may shield it from such vulnerabilities.

Previous Post

Green army expands clean-up to Nairobi’s residential estates

Next Post

Top 5 flooring options in Kenya: durability, style, and functionality

Teresiah Ngio

Teresiah Ngio

Related Posts

News

September snapshot: CMMF yields 13.12% as month unfolds

September 5, 2025
Private equity investment business concept
News

Private equity and insurance

September 4, 2025
News

Kick financial goals: Invest with CMMF this football season

August 22, 2025
commercial illustrator
News

Why Kenyan private equity firms should consider continuation funds as an exit strategy

July 23, 2025
Business

Del Monte foods files for bankruptcy in USA

July 3, 2025
News

Private vs Public Pension Funds in Kenya

June 30, 2025

LATEST STORIES

Ways the KRA can leverage technology to stay ahead of smugglers

September 18, 2025

Evaluating Defined Benefits and Defined Contributions

September 18, 2025

Airbnbs or Ubers? The first-time investor in Nairobi

September 18, 2025

Fed cuts rates for first time since 2022

September 18, 2025

Sustainable mixed-use developments in Kenya

September 17, 2025

Real Estate project financing models shaping successful developments

September 12, 2025

Alternative investments: Opportunities and risks

September 12, 2025

Mid-September momentum: CMMF posts strong yields and growing trust

September 12, 2025
  • About Us
  • Meet The Team
  • Careers
  • Privacy Policy
  • Terms and Conditions
Email us: editor@thesharpdaily.com

Sharp Daily © 2024

No Result
View All Result
  • Home
  • News
    • Politics
  • Business
    • Banking
  • Investments
  • Technology
  • Startups
  • Real Estate
  • Features
  • Appointments
  • About Us
    • Meet The Team

Sharp Daily © 2024