Tech war: US firms embrace DeepSeek’s AI model despite scrutiny

US technology firms have been racing to adopt the latest artificial intelligence (AI) reasoning model from Chinese start-up DeepSeek despite increasing global scrutiny of the Hangzhou-based company, which claims it can develop industry-leading models at a fraction of the usual cost.

Top chip designer Nvidia has made DeepSeek’s R1 model available to users of its NIM microservice since Thursday, saying the model provides “state-of-the-art reasoning capabilities”, “high inference efficiency”, as well as “leading accuracy” for tasks requiring logical inference, reasoning, mathematics, coding and language understanding.

DeepSeek’s open-source reasoning model, R1, released on January 20, has shown capabilities comparable to OpenAI’s closed-source GPT models in certain areas, but at significantly lower training costs.

Nvidia CEO Jensen Huang. Photo: AFP
Nvidia CEO Jensen Huang. Photo: AFP
OpenAI investor Microsoft earlier this week launched support for R1 on its Azure cloud computing platform and GitHub, allowing clients to build AI applications that run locally on Copilot+ personal computers. E-commerce giant Amazon.com has enabled developers to create applications with the “powerful, cost-efficient” R1 through Amazon Web Services.

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