OpenAI CEO Sam Altman called DeepSeek's R1 AI model "impressive," but emphasized that OpenAI's success is driven by greater computing power. DeepSeek's V3 model used lower-capacity Nvidia H800 chips, costing less than $6 million, making headlines globally for its efficiency.
DeepSeek-R1, launched last week, claimed operating costs are 20 to 50 times cheaper than OpenAI's O1 model, depending on the task. Altman noted on X that DeepSeek's R1 is remarkable for its price-to-performance ratio, but OpenAI remains focused on continuing its research and requires more computing power to achieve its mission.
DeepSeek's emergence has raised doubts about the rationale behind U.S. tech companies' multi-billion-dollar AI investments. Several major tech stocks, including Nvidia, were negatively affected. Nvidia experienced a record $593 billion loss in market value on Monday, marking the largest single-day loss for any company on Wall Street.
