Chinese AI startup DeepSeek has surpassed OpenAI’s ChatGPT to become the top free app on the Apple App Store in the US, just days after launching its AI assistant on January 10. This unexpected rise has not only disrupted the AI landscape but also cast doubts on the effectiveness of US export restrictions aimed at limiting China’s technological progress.
DeepSeek’s flagship R1 model gained widespread popularity, quickly reaching the No. 1 position on the App Store’s Top Free Apps chart by January 20.
Read more: ChatGPT Introduces New Search Engine Feature: Could This Mark the End of Google?
Despite operating with limited resources compared to tech giants like OpenAI and Google, DeepSeek’s success is impressive. The company used under $6 million to train its DeepSeek-V3 model on around 2,000 Nvidia H800 chips, while US firms have invested billions in acquiring more powerful Nvidia H100 chips.
DeepSeek’s success raises questions about the impact of US sanctions restricting access to advanced AI technologies for Chinese firms. While the Biden administration’s export bans have aimed to prevent China’s access to high-performance chips, DeepSeek’s use of less powerful chips like the H800 has still allowed the startup to achieve impressive results, challenging the current export control framework.
Founded in 2023, DeepSeek has quickly gained recognition in Silicon Valley, competing with US-developed AI systems. Its DeepSeek-V3 model, which powers its AI assistant, is praised for its versatility and efficiency.
As a result, DeepSeek’s achievement has made waves in the AI sector, forcing US policymakers to reconsider their strategies in the face of growing Chinese innovation. Meanwhile, OpenAI’s ChatGPT, once the dominant app, has fallen to second place, signaling a shift in the global AI race.
