DeepSeek has been having problems in spite of these achievements and its quick rise in popularity
Recently released Chinese AI startup DeepSeek overtook the world of virtual assistants to become the most downloaded free app across various platforms, Kazinform reports.
The sudden, yet rapid, rise of DeepSeek has intensified debates on global AI dominance, security risks and future of tech.
Recently released Chinese AI startup DeepSeek overtook the world of virtual assistants to become the most downloaded free app across various platforms. The sudden, yet rapid, rise of DeepSeek has intensified debates on global AI dominance, security risks and future of tech.
The Hangzhou-based AI company DeepSeek, founded in 2023, released its app on January 10, gaining attention for its advanced yet cost-effective AI models. Just days later, on January 20, it strengthened its position by launching the R1 LLM at a fraction of the cost of rival models. With DeepSeek-V3’s training cost reportedly under $6 million, the company's innovation has raised concerns among tech firms worldwide.
New AI’s debut has caused the biggest sell-off in the stock market, resulting in a $1 trillion market loss for large US tech firms including Nvidia, Broadcom, and Oracle in just 24 hours. Nvidia (NVDA) lost $596 billion in value on its own. Yet, it wasn't just tech giants who voiced their concerns. America’s National Security Council is looking at the possible security implications, while President Trump saw this as a "wake-up call" for the US AI industry.
DeepSeek has been having problems in spite of these achievements and its quick rise in popularity. On January 27, the company experienced large-scale cyberattacks, resulting in temporary restrictions on new user registrations. Interestingly, the attack occurred at the same time that DeepSeek's app surpassed ChatGPT in downloads, causing concerns within and outside of the tech community.
However, the company's problems didn’t end at that, unraveling on an even bigger scale. A significant weakness in DeepSeek's system was recently discovered by Wiz cybersecurity researchers. Sensitive user information, such as chat history, API secrets, and backend specifics, was made public by a ClickHouse database. The hack put user security and privacy at serious risk by granting complete control over database activities without authentication.
Overlooking this, users continue AI-migration to DeepSeek, presenting a direct challenge to the biggest star of the industry – OpenAI. Users are drawn to DeepSeek primarily due to its cost advantages, especially after ChatGPT’s recent subscription update, which can reach up to $200 per month.
Noticeably, both companies take distinct approaches to AI development. OpenAI, founded in 2015 in San Francisco, focuses on broad AI capabilities, while DeepSeek, founded in 2023 in Hangzhou, prioritizes efficiency and open-source models. OpenAI's key models include GPT-4o and o1, whereas DeepSeek’s major offerings are DeepSeek-V3 and R1, along with specialized models like DeepSeek Coder for coding and Janus Pro for vision tasks.
A key difference between the two is pricing and accessibility. OpenAI’s o1 model costs $15 per million input tokens and $60 per million output tokens, while DeepSeek-R1 is significantly cheaper at $0.55 per million input tokens and $2.19 per million output tokens. DeepSeek also embraces an open-source approach, contrasting with OpenAI’s more closed ecosystem.
Kazinform correspondent conducted an independent comparative analysis of responses generated by ChatGPT and DeepSeek AI to evaluate their approach to problem-solving, information structuring, and depth of explanation:
In response to a mathematical prompt (5+2×7), both models arrived at the correct answer, following the order of operations (PEMDAS/BODMAS). ChatGPT provided a straightforward, factual breakdown, while DeepSeek AI delivered a similar explanation but with a more visually structured output, which enhanced not only readability, but understanding overall.
When asked about H2O and its importance to human life, both AI models offered scientifically accurate answers. DeepSeek organized its response in a segmented manner, outlining important elements like hydration, digestion, and environmental significance (in later response), and ChatGPT provided a brief overview.
The third prompt not only outlined, highlighted and solidified the differences and flaws. Simple request “Name top 3 countries by GDP in 2024” with the goal to look at AIs analytical abilities and credibility delivered these results:
ChatGPTs response:
“As of 2024, the top three countries by Gross Domestic Product (GDP) are:
- United States: The U.S. maintains its position as the world's largest economy, with a GDP of approximately $28 trillion. (dailytelegraph.com.au)
- China: China continues to hold the second-largest economy globally.
- Japan: Japan remains the third-largest economy.
These rankings are based on nominal GDP figures. It's important to note that GDP rankings can vary depending on the metrics used, such as purchasing power parity (PPP).”
DeepSeek’s response:
“As of 2024, the top 3 countries by GDP (Gross Domestic Product) are projected to be:
1. United States
● GDP (Nominal): ~$28 trillion (estimated)
● The U.S. remains the largest economy in the world, driven by its advanced technology, services sector, and consumer spending.
2. China
● GDP (Nominal): ~$18 trillion (estimated)
● China is the second-largest economy, with rapid industrialization, manufacturing, and a growing middle class contributing to its economic strength.
3. Germany
● GDP (Nominal): ~$5 trillion (estimated)
● Germany is the largest economy in Europe and the third-largest globally, known for its strong industrial base, exports, and engineering expertise.
Notes:
● These rankings are based on nominal GDP, which measures economic output in current U.S. dollars.
● If measured by GDP (PPP - Purchasing Power Parity), which adjusts for cost of living, China is often considered the largest economy, followed by the U.S. and India.
● Economic projections can vary depending on growth rates, exchange rates, and global conditions.”
Both AI models recognized China and the United States as the top two economies in 2024 when asked which three nations had the highest GDP. However, DeepSeek listed Germany with corresponding GDP figures, while ChatGPT ranked Japan as the third-largest. Notably, DeepSeek offered a more thorough analysis including methodological disclaimers on variances in GDP measurement, whereas ChatGPT supplied a fictional reference link to a ‘source’ of information.
Overall, DeepSeek AI's answers were frequently more organized and illustrative, especially in the third question, even though both AI models displayed comparable basic knowledge. The differences in presentation and approach to the information might affect user perception and trust, however, the results emphasize the significance of verifying content generated by any assistive AI model.
On Wednesday a new AI release entered the conversation. Alibaba released a new version of the Qwen 2.5 artificial intelligence model, claiming to have surpassed DeepSeek-V3. Experts believe the move highlighted the accelerating race towards AI dominance, pressuring not only the global community, but DeepSeek’s native competitors too.
Earlier, Kazinform News Agency reported on how artificial intelligence’s influence is growing in the world of dating not only online, but in reality too.
Image: DeepSeek.
YOU CAN SHARE YOUR OPINION AND DISCUSS THE ARTICLE ON OUR TELEGRAM CHANNEL!
