Why "cheap" AI will benefit the overall ecosystem explained in one chart
As the cost of AI comes down, what are the sectors that benefit from cheap intelligence? 1. Cybersecurity (e.g $CRWD) 2. Data Storage/Analytics (e.g $NOW) 3. Robotics (e.g $AMZN) 4. AI Agents (e.g $MSFT $CRM) 5. Advertising (e.g $META, $GOOGL) 6. Ecosystems (e.g $AAPL) NB: These are not investment recommendations Source: Lin@Speculator_io
💻 AI hardware & infrastructure were the biggest beneficiaries of the AI boom with Microsoft, Amazon, Oracle, Google, Meta and others spending zillions.
With the rise of DeepSeek & other small models, questions are the following: 1) Will these giants maintain their spending forecasts? 2) How they justify it after DeepSeek release? 3) Will the perceived value move up the chain towards applications? Source: Deutsche Bank thru Ali Dhanji @DhanjiatRJ on X
Hedgefund Billionaire Steve Cohen just said:
“Our view is what happened with DeepSeek is actually bullish because it advances the move to artificial super-intelligence” - Bloomberg Source: Evan on X
DeepSeek has apparently spent over $500 million on $NVDA chips despite low-cost AI claim,
Source: SemiAnalysis via @FT
DeepSeek has completely taken over media with nearly 2,000 news articles published today.
Source: Bloomberg, Adam Kobeissi
Interesting to see that DeepSeek is owned by a hedgefund …
Did they short nvidia before announcing the world - through a paper authored by their lab - that the DeepSeek-R1 model outperforms cutting-edge models such as OpenAI’s o1 and Meta’s Llama AI models across multiple benchmarks?
About DeepSeek founder Liang Wenfeng
>> Studies machine vision at Zhejiang University >> At 30 in 2015, launches High-Flyer quant hedge fund >> Makes a fortune (now $8B AUM) >> Wants to build “human” level AI as side hustle and pitches partners but they initially sceptical >> Buys 10,000 H800 chips in 2021 and brings over his top hedge fund employees (all have tons of experience squeezing juice out of Nvidia GPUs for the fund) >> Launched DeepSeek in 2023 and hires dozens of PhDs from top Chinese universities (Peking, Tsinghua and Beihang) >> Pays top top top salary for tech talent only matched by Bytedance in China…wants DeepSeek to be leading “local” company >> US export restrictions force DeepSeek team to get creative and they do, finding new training methods to make LLM models (V3, r1) competitive with OpenAI, Anthropic, Gemini, Grok, LLama etc at ~1/20th the cost >> Training costs not exactly apples-to-apples but novel methods and clear improvements in efficiency (also questions around copying other models, larger H-100 clusters they maybe can’t talk about and/or CCP support) >> Open sources and publishes methods (r1 reasoning paper has 200+ authors) >> DeepSeek just hit top of App Store *** FT: https://lnkd.in/e96ffxmU Source: Trung Phan @TrungTPhan on X, FT
DEEPSEEK OVERTAKES CHATGPT IN APP STORE RANKINGS IN THE U.S.
👉 Chinese AI platform DeepSeek has reportedly surpassed OpenAI’s ChatGPT on Apple’s App Store rankings just a week after launch. 👉DeepSeek popularity stems from its competitive pricing, and its superior performance, reportedly achieving a higher success rate in coding tasks and outpacing OpenAI in benchmarks. Source: @spectatorindex MoneyControl thru Mario Nawfal on X
