Shortly after the American government announced its new U.S.-focused $500 billion AI partnership 'Project Stargate', Chinese leadership got the spotlight with DeepSeek AI. In short, it can do the same amount of processing as the current market leader, Open AI's Chat GPT, at one-tenth of the cost.
According to Platformer's Casey Newton, the reaction was swift:
On Monday, the Nasdaq fell 3.1 percent as investors considered what the Chinese company's high-performing, cheap-to-train, App Store-topping new models meant for the future of artificial intelligence and the tech industry overall. The leading maker of specialized AI chips, Nvidia, suffered most of all ' its stock price dropped 17 percent, erasing $600 billion in market value.
So no, the leading stock markets did not like the news. Like many of us, the top performing companies have been pouring significant money into AI research and output since Chat GPTs stellar debut. Was that money a waste?
The silver lining here is bright here, especially if you are a scrappy business or small-to-medium sized company priced out of the AI revolution. We talked about it recently:
By focusing on the already-big players, it's doubtful that Stargate will help smaller entrepreneurs and businesses. It centralizes AI innovation, not around a particular company or companies, but around the government - an organization that did its first piece of AI legislation barely a year ago. The new administration ironically repealed the legislation right after inauguration day.
Beyond the political rhetoric, leadership isn't going to make sure your business maximizes AI and can level up to compete with the well-coffered corporations. But what will help is a more affordable, strategic approach to your company's future. DeepSeek shows that AI may be more accessible to you than ever possible.
Luckily, Onside is already working in this world of accessibility and knowledge.
Onside is committed to stable growth, not hopping on the next hype machine. Our AI, data-driven platform is overlaid with human intelligence and discernment. The two proprietary indices give you' the topics where your potential and current audience are most engaged as well as what they are most curious about next.
You can see your own future in the data and can point your audience towards the next best step.
Without the need for a government mandate.
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