DeepSeek is a Chinese artificial intelligence company specializing in open-source large language models (LLMs). Founded in 2023 by Liang Wenfeng and based in Hangzhou, Zhejiang, the company has rapidly gained attention for its innovative approach to AI development.
The company’s flagship model, DeepSeek-R1, rivals leading AI models like OpenAI’s GPT-4o and o1 in performance but was developed at a fraction of the cost—approximately $6 million compared to OpenAI’s $100 million investment. This efficiency is achieved through a “mixture of experts” technique, which activates only the necessary computing resources for a given task, significantly reducing energy consumption and computational requirements.
DeepSeek’s models are open-source, allowing developers worldwide to access, modify, and build upon the code. This openness has been described as a step toward the democratization of artificial intelligence, enabling broader participation in AI development.
In January 2025, DeepSeek released its first free chatbot app based on the DeepSeek-R1 model for iOS and Android platforms. Within weeks, it became the most-downloaded free app on the iOS App Store in the United States, surpassing ChatGPT. This rapid success led to significant impacts in the tech industry, including a notable decline in Nvidia’s share price.
Despite its achievements, DeepSeek has faced scrutiny over data privacy and national security concerns. Reports have highlighted potential risks associated with data exposure and compliance with Chinese censorship laws.
In response to the growing interest in its technology, DeepSeek has made its R1 model available on Microsoft’s Azure cloud computing platform and GitHub, further expanding its accessibility to developers and organizations.
Overall, DeepSeek’s emergence has disrupted the AI landscape, challenging established players with its cost-effective, open-source models and prompting discussions about the future direction of artificial intelligence development.