DeepSeek’s $6 million AI model just blew a $1 trillion hole in the market. \ stacker news ~Stacker

DeepSeek is offering up models with the same secret sauce that OpenAI is charging a significant amount for. And OpenAI only offers its models on its own hosted platform, meaning companies can’t just download and host their own AI servers and control the data that flows to the model. With DeepSeek, you can host this on your own hardware and control your own stack, which obviously appeals to a lot of industries with sensitive data.

DeepSeek does offer hosted access to its models, too, but at a fraction of the cost of OpenAI. For example, OpenAI charges $15 per 1 million input “tokens” — pieces of text that get entered into a chat, which could be a word or letter in a sentence. But DeepSeek’s hosted model charges just $0.14 for 1 million input tokens. That’s a jaw-dropping difference if you’re running any kind of volume of AI queries.

Another crazy part of this story (and the one that’s likely moving the market today) is how this Chinese startup built this model.

DeepSeek’s researchers said it only cost $5.6 million to train their foundational DeepSeek-V3 model, using just 2,048 NvidiaNVDA $118.55 (-16.87%) H800 GPUs (which were apparently acquired before the US slapped export restrictions on them).

For comparison, Meta has been hoarding more than 600,000 of the more powerful Nvidia H100 GPUs, and plans on ending the year with more than 1.3 million GPUs. DeepSeek’s V3 model was trained using 2.78 million GPU hours (a sum of the computing time required for training) while Meta’s Llama 3 took 30.8 million GPU hours.

And this faster, cheaper approach didn’t just result in a model that matched the leaders’ models; in some cases, it beat them. DeepSeek’s R1 models are beating OpenAI o1 in some math and coding benchmarks. Read more..

24 sats \ 3 replies \ @BlokchainB 27 Jan

Great post!

128 sats \ 0 replies \ @NovaRift OP 27 Jan

But I didn't write it; it's from the article I just highlighted. Thanks.

90 sats \ 1 reply \ @Bell_curve 27 Jan

because he used your fonts lol

162 sats \ 0 replies \ @NovaRift OP 28 Jan

Yeah, now instead of bolding text and using italics, I just highlight in pink. It helps in noticing what to look for.

19 sats \ 0 replies \ @Rothbardian_fanatic 27 Jan

Well, if I read another post about the end user agreement, you are f*ed if you want to use it because they will collect a whole lot of your personal data and keep it forever. What a deal. I would take that deal only if I didn’t have to use any of my own personal data. If it is really open source, maybe someone will do the alterations enough to put it out on a different license.

10 sats \ 1 reply \ @Bell_curve 27 Jan

Sounds too good to be true

Is there a way to use Deep Seek w/o login?

I can use chatGPT and perplexity and venice w/o login

9 sats \ 0 replies \ @NovaRift OP 27 Jan

Right now, I don't think you can use it without logging in. But you can sign up with a throwaway email like I do.

https://chat.deepseek.com/sign_in