The rise of DeepSeek: A new player in the AI race

Can powerful AI be built without a massive investment? DeepSeek proves it.
Pasqual Guerrero
March 3, 2025

The rise of DeepSeek: A game changer in AI development

At the end of 2022, the arrival of ChatGPT accelerated the rise of generative artificial intelligence. Initially, the dominant belief was that the most powerful AI systems could not be built without investing billions of dollars in specialized AI chips. This meant that only the biggest tech companies—Microsoft, Google, and Meta—would be able to develop the most advanced technologies.

At least, that’s what many AI experts thought. However, the arrival of the DeepSeek tool shook the industry, proving that it is possible to create a powerful AI with a relatively small investment. According to the Chinese company behind it, their model was trained over 55 days on a budget of just $5.57 million.

What is DeepSeek?

DeepSeek is a Chinese AI company founded in 2023 in Hangzhou, Zhejiang, by Liang Wenfeng. Its goal is to develop advanced language models optimized for efficiency and cost. Additionally, this AI focuses on open-source principles and resource optimization, making it an attractive option for developers and businesses looking for

Thanks to this approach, DeepSeek has gained recognition in the global tech scene as an emerging alternative, emphasizing efficiency and open-source development.

What makes DeepSeek-R1 special?

DeepSeek-R1 is a reasoning model designed to tackle complex tasks such as advanced mathematics, programming, and natural language comprehension. Its performance is comparable to other AI systems but with greater cost efficiency. Moreover, DeepSeek-R1 is open-source, allowing developers and researchers to access and customize the model to suit their specific needs.

Some of its standout features include:

  • Advanced reasoning capabilities: High precision in solving complex problems.
  • Efficient resource consumption: Its optimized structure enables training with less specialized hardware.
  • Open-source approach: Unlike many commercial models, DeepSeek-R1 is accessible to developers and researchers interested in experimenting with it.

Challenges and concerns

Despite DeepSeek’s success, it is not without its drawbacks.

  1. Censorship and information control: One of the main concerns surrounding this tool is the application of censorship mechanisms on politically sensitive topics, in line with Chinese government policies.
  2. Data security and privacy: This is a particularly sensitive issue for many users, as the company stores collected data on servers located in China. This raises concerns about the security and privacy of user data outside of China.
  3. Regulatory hurdles: DeepSeek may also face regulatory challenges in other countries that could limit its adoption. Both Europe and the United States have expressed growing concerns about security and transparency in AI development, potentially leading to restrictions or bans in certain markets.

Where is DeepSeek going?

Given its potential, DeepSeek could establish itself as a key player in the global AI sector. Its focus on efficiency and open-source development could provide a strategic advantage in a market dominated by tech giants.

What we can expect:

  • Greater sophistication in language comprehension and multimodal content generation.
  • Partnerships with tech companies for wider adoption.
  • Increased regulatory scrutiny and debates on AI ethics in China and worldwide.

Conclusion

DeepSeek represents a significant breakthrough in AI, proving that efficient models can be developed with limited resources.

However, its growth is not without challenges, particularly regarding censorship, data privacy, and international regulations. As AI continues to evolve, DeepSeek will need to adapt to an increasingly regulated and competitive landscape.

Even so, its impact on the industry is undeniable, and its development could mark the beginning of a new era where AI becomes more accessible and efficient. Its future will depend on its ability to innovate and overcome the challenges it faces on the global stage.

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