DeepSeek: China’s AI Push
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China’s artificial intelligence sector is rapidly advancing, with companies like Baidu, ByteDance, and Tencent expanding AI beyond chatbots into real-world applications.
AI adoption in Chinese businesses has surged, with over 10% of companies now using generative AI, a sharp increase from 8% just six months ago.
This rapid integration highlights China’s ambition to compete with Western AI leaders, and one startup, DeepSeek, is making waves with a revolutionary approach to AI efficiency.
DeepSeek: A Low-Power Disruptor in the AI Race
Chinese AI startup DeepSeek has developed a language model that rivals OpenAI’s ChatGPT and Google’s Gemini, but with a key difference—it requires significantly less computational power.
Unlike Western AI models that rely on massive GPU clusters, DeepSeek achieves similar performance while consuming far fewer resources.
This efficiency makes it more cost-effective, scalable, and accessible for businesses looking to integrate AI into their operations.
Market Implications
DeepSeek’s low-power AI technology could shift the balance in the AI market, particularly in China, where government-backed initiatives are fuelling AI growth.
If DeepSeek’s model proves commercially viable, it could challenge Western AI leaders by offering cheaper and more energy-efficient solutions, attracting major business clients and investors.
Meanwhile, established Chinese tech giants are integrating AI into their platforms at an accelerating pace:
- Baidu is embedding AI into its Wenku platform, revolutionising how presentations and business documents are created.
- Tencent’s WeChat is leveraging AI to enhance user interactions and automation.
- ByteDance is expanding AI-driven tools beyond social media into enterprise solutions.
As China’s AI ecosystem evolves, businesses and investors should closely watch how DeepSeek’s efficient AI models and the broader AI adoption trend impact technology stocks, market competition, and global AI leadership.
Data: eToro
