Market reaction to DeepSeek is wrong: Intel CEO advocates cheaper AI, open source
Pat Gelsinger took to LinkedIn to cheer Chinese artificial intelligence (AI) DeepSeek, calling it «an incredible piece of engineering that will usher in greater adoption of AI». He added that the startup's overnight fame shows a reset within the industry towards open innovation.
Budget with ET
How Budget 2025 can walk the tightrope of India's 'sins'
Will Budget add more firepower to defence industry's local manufacturing?
Sitharaman and co to fuel India's luxe aspirations, premium growth?
DeepSeek's large language models (LLMs) and its chatbot claim to be comparable to advanced models of US tech giants such as OpenAI and Meta, developed at a fraction of the cost. This led a massive selloff on Wall Street at the start of this week, wiping out trillions in market capitalisation of these companies. However, Gelsinger noted in his post that this reaction is wrong.
«Making compute resources broadly available at radically lower price points, will drive an explosive expansion, not contraction, of the market. AI will be in everything going forward and today, it is orders of magnitude too expensive to realize that potential. The market reaction is wrong, lowering the cost of AI will expand the market. Today I’m an nVidia and AI stock buyer and happy to benefit from lower prices.,» the post read.
Bringing to attention important lessons coming out of DeepSeek's rise, the Intel CEO said the startup came up with creative ways to overcome numerous constraints and delivered «a world-class solution in every respect at 10-50X
