The artificial intelligence industry is undergoing transformation, with open-source models challenging the dominance of proprietary AI. The recent launch of DeepSeek-R1, an open-source large language model from China, has intensified discussions around efficiency, accessibility and the future of AI monetization.
Experts claim DeepSeek-R1’s performance competes with OpenAI’s top-tier models in reasoning tasks such as mathematical computation and coding while operating at 2% of the cost. DeepSeek has also made its model weights publicly available – disrupting traditional AI revenue models and pushing the industry toward a more open ecosystem. The lower costs of training and inference mean that researchers can perform many more experiments. Andrej Karpathy, one of the engineers involved with DeepSeek, has suggested establishing a global “RL-gym” to create a wide range of RL environments to understand how LLMs think and make decisions.
“Assuming that DeepSeek’s claims on infrastructure reductions are true, some researchers are still not fully convinced and are in the process of verifying the claims. There will be an immediate breakdown of the monopolistic hold of a few technology giants with deep pockets to control the AI market – much like India developing cheap Corona vaccine,” said Dr. Sanjeev Kumar, Chief AI and Digital Officer, Wadhwani Centre for Government Digital Transformation, Wadhwani Foundation.
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