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A shocking Chinese AI advancement called DeepSeek is sending US stocks plunging


I'm not sure that DeepSeek is necessarily innovative, it is taking the AI world by storm because it's cheap/free.

But it is cheap/free because the Chinese government is using it as a loss leader to disrupt the market.

It still has all the weaknesses you would expect from a CCP funded project in that it doesn't seem to be able to tell you anything negative about China.
 
Allan said:
This kind of censorship will hurt them with a western user group.

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What happens when you type in "Tiananmen Square massacre" or "Tiananmen Square June 3, 1989"?
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For the old school nerds: why did I read that response in my head using the Dr. Sbaitso voice?
 
Also, I'm not really sure how this announcement is hurting nVidia since the AI platform in running on nVidia hardware.

nVidia doesn't write AI code, they provide the hardware it runs on.

Also, also... while the code is open source, their AI platform is owned and controlled by the CCP. The app you install on your phone isn't running the AI processes on your phone, it is linking back to the DeepSeek servers.

So in theory a company could pull DeepSeek's open source code, poor over it, clean it up and install it on their own hardware, but that likely wouldn't be free. The point of DeepSeek, it seems, it to attract people to their DeepSeek server farm, which would be collecting private data from your installed app.
 
Seems the AI bouble bursted. Had to happen at some point. AI is fun toy and in some cases a decent tool, but it's not a sellable product. They were just pumping more and more money into it but had no product to sell. "And then some Chinese company was like: we can do all that without all that money". And the scam is over.
 
joluoto said:
They were just pumping more and more money into it but had no product to sell. "
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I think it's uses are probably somewhat inflated by the tech industry (obviously to pad their numbers) but it's definitely still creeping in

The fact that some companies were/are using it to deny health insurance claims is terrifying
 
jmotivator said:
Also, I'm not really sure how this announcement is hurting nVidia since the AI platform in running on nVidia hardware.
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The stock market is not a rational entity.
 
instagramsci said:
I think it's uses are probably somewhat inflated by the tech industry (obviously to pad their numbers) but it's definitely still creeping in

The fact that some companies were/are using it to deny health insurance claims is terrifying
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A system that they knew had a 90% failure rate.

But it's profitable. They'll kill you for money. Never forget it.
 


The hurt for nvidia is more due to deep seek being created using fewer and less advanced chips

Potentially impacting the number of chips ai customers will order to get the same results

I would say it shows lazy programmers uses brute computing power to achieve results that more efficient programming could achieve with less resources
 
Not only AI but the entire tech market in the U.S. is built on over-hype and speculation. It's why Tesla has such absurd evaluations and P.E. ratios. Eventually China and the rest of the world will overtake the U.S. and our economy will collapse as the money drys up.

I work in tech and just hope the collapse doesn't personally affect me.
 
Variant said:
China invents some software.



They might in fact interrupt the next big thing that will change life as we know it...
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The issue being that the massive valuations for a lot of AI associated companies now may not been seen as justified.

Nvidia might drop from 3 trillion down to 2 trillion
 
Lord Tammerlain said:
The issue being that the massive valuations for a lot of AI associated companies now may not been seen as justified.

Nvidia might drop from 3 trillion down to 2 trillion
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I understand the issue with overvaluing software innovation, and the panic that might ensue from massively being disconnected from reality.

My post is meant to sarcastically make fun of people who put a trillion dollars into NVIDIA.
 
Variant said:
I understand the issue with overvaluing software innovation, and the panic that might ensue from massively being disconnected from reality.

My post is meant to sarcastically make fun of people who put a trillion dollars into NVIDIA.
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My mistake

And I fully agree.

In no way shape or form is Nvidia really worth 3 trillion dollars. Another dot com bubble bursting is likely
 
Allan said:
This kind of censorship will hurt them with a western user group.

View attachment 67553241

What happens when you type in "Tiananmen Square massacre" or "Tiananmen Square June 3, 1989"?
Click to expand...
I used the other portal and asked about the Uyghurs, it dumped a giant wall of text critical of China’s treatment for a few seconds before deleting it all and replacing it with the same message above about scope.

Sloppy.
 
jmotivator said:
Not a fan of this whole CCP push to take over global AI market, but this is still hilarious:

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joluoto said:
Yes, the thieves of OpenAI should not complain about theft.
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I see this a lot but I don’t get it?

OpenAI “stole” our data to train their model (it’s not stolen because it’s perfectly legal since our representatives care more about their bribes than they do about our privacy), cranking huge quantities of data to train as inputs. But DeepSeek used distillation to steal OpenAI’s trained outputs.

If your classmate uses the same sources as you to write your paper, that’s not cheating. But if they copy contents from inside your paper, that is cheating.
 
jmotivator said:
Not a fan of this whole CCP push to take over global AI market, but this is still hilarious:

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Fabulous, one theory is that DeepSeek simply was asking ChatGPT questions that helped train it - and now an American group has done the same to DeepSeek for a fraction of the cost to make DeepSeek.

University of Berkley researchers reproduce DeepSeek's core tech for $30.

joluoto said:
Yes, the thieves of OpenAI should not complain about theft.
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Yep, there's a huge irony of OpenAI complaining that someone came and stole the data they stole from across the internet.


I don't often read YouTube comments but basically "Karma..."
 
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