Chinese AI Company DeepSeek Becomes Popular App in the U.S.

Chinese startup DeepSeek’s AI Assistant has become the top free application on the U.S. Apple App Store. Since its release on January 10, the app has rapidly gained popularity among U.S. users. Founded in 2023 in Hangzhou, China, DeepSeek is a small startup, but its success challenges the common perception of U.S. dominance in AI and raises questions about U.S. policies restricting the export of advanced chips and AI technology to China. According to DeepSeek researchers, the company’s AI model uses Nvidia’s H800 chips, with training costs around $6 million. Such low-cost development prompts reconsideration of the effectiveness of U.S. technology export regulations. DeepSeek is the first Chinese AI company to be recognized by the U.S. tech industry as having performance equal to or surpassing leading U.S. models.

References

https://www.investing.com/news/stock-market-news/deepseek-tops-apple-app-store-surpasses-chatgpt-in-downloads-3831085

Explanation and Impact

This news indicates that Chinese companies are rapidly growing in the field of AI technology. For investors, the rise of companies like DeepSeek offers new investment opportunities, while also suggesting increased competition with existing AI firms. Additionally, as the effectiveness of U.S. technology export regulations is questioned, there may be considerations for policy revisions or new implementations. These developments could potentially affect the stock prices of AI-related companies and the broader market.

Explanation for Beginners

This news highlights the significant success of the Chinese AI company DeepSeek in the U.S. market, drawing attention to the growing importance of AI technology globally. With the increasing adoption of AI apps, it’s evident that innovative technologies and services like these have the potential for continued growth.

When considering investments, it’s essential to focus on such expanding sectors. Companies like DeepSeek, backed by technological capabilities and market support, show potential for further development. Based on this news, the market related to DeepSeek could become even more dynamic, making it worth considering as a purchase opportunity.