Big Take

Why African Startups Are Embracing DeepSeek

7 snips
Dec 29, 2025
Loni Prinsloo, a Senior Africa reporter for Bloomberg, and Helen Nyambura, East Africa bureau chief, delve into China's DeepSeek and Huawei's push into the African tech landscape. They discuss the appeal of DeepSeek's cost-effective, customizable AI solutions over Western offerings like OpenAI. The duo highlights Huawei’s ambitions in government cloud services, concerns about data privacy, and China’s broader tech diplomacy. They also ponder the potential for Africa to cultivate its own AI industry amidst these dynamics.
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ANECDOTE

Nairobi Pitch and Free Tokens

  • At a Nairobi breakfast meeting Huawei pitched DeepSeek to African startup founders and offered two million free tokens daily via Huawei Cloud.
  • The audience responded positively because the free tokens translate to thousands of pages of generated content at no immediate cost.
INSIGHT

Cost And Customization Edge

  • DeepSeek's open-source model and much lower pricing make it more attractive for African startups needing customization and affordability.
  • Startups like Equalize AI report DeepSeek costs are a fraction of ChatGPT's, enabling far greater usage for the same budget.
ADVICE

Prefer Customizable Models Locally

  • Choose open and customizable models when you need to adapt AI to local dialects and cultural nuances.
  • Prefer cheaper, smaller models for specific local tasks instead of defaulting to large Western models.
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