Behind the Money The story behind DeepSeek’s breakthrough
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Feb 19, 2025 
Eleanor Olcott, the Financial Times’ China Technology Correspondent, delves into the remarkable journey of DeepSeek, an ambitious AI startup founded by Liang Wenfeng. She explores how DeepSeek emerged from a quant hedge fund to challenge big players like Silicon Valley. Olcott discusses the innovative models that set DeepSeek apart and the strategic financing that allowed the company to thrive amid China's tech industry challenges. The conversation highlights the potential implications for AI's future as DeepSeek captures global attention.
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Liang Wenfeng's Hometown Visit
- Eleanor Olcott visited Liang Wenfeng's village, finding celebratory banners and people traveling to see his childhood home.
- A teenager from Guangzhou expressed admiration, viewing Liang as a pragmatic technologist who enabled China to compete with and surpass OpenAI.
China's Tech Sector Challenges
- China's tech sector faces challenges due to structural changes, geopolitics, and Xi Jinping's reforms.
- State-backed funding, while available, creates risk for startups as founders become personally liable if their companies fail.
Liang's Prescient Bet
- Liang Wenfeng, DeepSeek's founder, strategically bought NVIDIA chips in bulk before U.S. restrictions, giving him an edge in the AI race.
- This foresight positioned DeepSeek well compared to competitors when the demand for these chips surged in China.