Newest AI from Chinese startup DeepSeek claims it can outperform leading models for a fraction of the cost. Google Gemini and ChatGPT say proceed with caution.

DeepSeek, a new Chinese AI, challenges established US firms like OpenAI, Google, and Anthropic with its cost-effective R1 model. It has quickly gained popularity, offering notable capabilities in content generation,

In theory, any AI alternative that consumes fewer resources should be better for the environment. Yet when Salon reached out to experts about the potential promise in DeepSeek’s potential “Sputnik” moment (to quote billionaire software developer Marc Andreessen), they expressed cautious optimism.

DeepSeek, a Chinese AI startup, is making waves with its AI model that rivals OpenAI’s ChatGPT and Google’s Gemini in performance, but at a lower cost. Founded in Hangzhou, the company is challenging conventional beliefs about the future of AI development.