OpenAI CEO Sam Altman has publicly acknowledged the rise of Chinese AI startup DeepSeek. He praised the company for delivering a high-performing model at a remarkably low cost. In a post on his X account Tuesday, Altman commended DeepSeek’s efficiency. He also says that the competition pushes OpenAI to innovate further.
Altman described DeepSeek’s R1 model as “impressive,” particularly for what it achieves at such a low cost. He added that OpenAI would soon release better models and expressed excitement about the invigorating competition.
Altman hinted at upcoming advancements from OpenAI, reaffirming the company’s commitment to its research roadmap. He added, “The world is going to want to use a LOT of AI and be amazed by the next-gen models coming.”
DeepSeek’s ascent has caused ripples across the tech world, particularly after its AI assistant became the top-rated free app on Apple’s App Store. Its success has disrupted markets, with major U.S. companies like Nvidia, Microsoft, and Meta experiencing significant stock losses. Analysts have noted DeepSeek’s low-cost development approach, with its DeepSeek-V3 model cost under $6 million. This approach challenges the belief that advanced AI demands massive investments in computing power and resources.
The rivalry between U.S. and Chinese AI sectors has intensified as DeepSeek’s streamlined strategy threatens the dominance of U.S. tech giants. The AI sector will be one to watch over the next couple of months.
