Unveiling DeepSeek: The AI Startup That's Shaking Up the Industry

Chinese artificial intelligence (AI) startup DeepSeek is making waves in the global tech scene, yet many questions linger about its operations and financial backing. In a recent China Future Tech webinar hosted by SCMP Plus, key figures from South China Morning Post, including technology editor Zhou Xin, China news editor Josephine Ma, and technology production editor Matt Haldane, tackled common misconceptions surrounding this intriguing company.

Is DeepSeek Funded by the Government?

There is no public evidence that DeepSeek has received any funding from the Chinese government. The startup originated as a side project of High-Flyer, a quantitative hedge fund that harnessed its robust computing resources for algorithmic trading before pivoting to AI in 2023. A recent visit to DeepSeek's office in Hangzhou revealed a lack of the typical indicators associated with government funding, such as a location in a high-tech park. Nevertheless, with DeepSeek's rise as a prominent player amid escalating U.S. restrictions on China’s AI advancements, the company could potentially attract state support in the future.

The Future of DeepSeek

As DeepSeek continues to evolve, its innovative approaches to AI technology are garnering attention. The company's ability to develop high-performance models at significantly lower costs than its U.S. counterparts has positioned it as a potential national hero in China's quest for AI supremacy. The implications of DeepSeek’s achievements extend beyond mere profitability; they touch upon national pride and technological independence, making it a pivotal player in the global AI landscape.