The emergence of Chinese AI startup Deepsick has created waves across the global technology sector, leading to a significant drop in the share prices of major tech giants. On Tuesday, the New York Stock Exchange witnessed a sharp decline as the impact of Deepsick’s rise became apparent.
Key Highlights
- U.S. tech sector fell by 5.6% in one day, with NVIDIA losing nearly $600 billion in market value.
- Following TikTok-related controversies, Deepsick has disrupted the U.S. economy within a week of its launch.
- CEO Liang Wenfeng aims to make advanced AI affordable and accessible, fostering innovation.
What is Deepsick?
Deepsick is a generative AI platform based on its proprietary large language model (LLM), “R-One,” with 670 billion parameters. Despite limited access to advanced chips like NVIDIA’s A-100 due to the U.S.–China trade restrictions, Deepsick has demonstrated performance on par with OpenAI’s GPT-4.
Its most striking feature is cost efficiency. Generating one million tokens costs just $2.19 compared to GPT-4’s $60, all while being developed on a budget of $6 million—a fraction of its competitors’ expenses.
Deepsick’s Impact
The platform has quickly become a global sensation, topping the Apple App Store charts in over 40 countries. Its release caused a ripple effect in global markets:
- NVIDIA: Lost 17% of its market value in a single day.
- Nasdaq Index: Fell by 3%, with other major tech firms experiencing losses.
- AI Giants: Companies like OpenAI face increased pressure to justify costs and maintain competitiveness.
The Visionary Behind Deepsick
Founder and CEO Liang Wenfeng, a graduate of Zhejiang University, launched Deepsick in December 2023. His vision is to make AI innovation affordable and accessible. Wenfeng has stressed the importance of leading the AI race through creativity and cost-effectiveness rather than following established models.
A Global Shift
Analysts have referred to Deepsick’s success as AI’s “Sputnik moment,” symbolizing a shift in technological leadership. While its long-term impact is yet to be seen, the platform has already forced the industry to reconsider its approach to cost and efficiency.
Deepsick has not only offered users an affordable AI alternative but has also set a new benchmark for innovation, marking a turning point in the global AI landscape.