The Shift in Generative AI Dynamics

The generative AI landscape has recently shifted dramatically with the emergence of DeepSeq, a Chinese company that offers highly efficient open-source models. These models are significantly cheaper to operate than their American counterparts, such as those offered by OpenAI and Anthropic. This disruption challenges the long-standing belief that advanced AI systems require expensive infrastructure, as DeepSeq's models can even run on standard laptops. The introduction of these competitive models has led to market turmoil, calling into question the sustainability of the high costs previously accepted in the industry.