Nvidia falls 14% in premarket trading as China's DeepSeek triggers global tech sell-off
Nvidia falls 14% in premarket trading as China's DeepSeek triggers global tech sell-off
DeepSeek launched a free, open-source large-language model in late December, claiming it was developed in just two months at a cost of under $6 million.
cross-posted from: https://lemm.ee/post/53805638
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My understanding is that DeepSeek still used Nvidia just older models and way more efficiently, which was remarkable. I hope to tinker with the opensource stuff at least with a little Twitch chat bot for my streams I was already planning to do with OpenAI. Will be even more remarkable if I can run this locally.
However this is embarassing to the western companies working on AI and especially with the $500B announcement of Stargate as it proves we don't need as high end of an infrastructure to achieve the same results.
500b of trust me Bros... To shake down US taxpayer for subsidies
Read between the lines folks
It's really not. This is the ai equivalent of the vc repurposing usa bombs that didn't explode when dropped.
Their model is the differentiator here but they had to figure out something more efficient in order to overcome the hardware shortcomings.
The us companies will soon outpace this by duping the model and running it on faster hw
Throw more hardware and power at it. Build more power plants so we can use AI.
My understanding is that DeepSeek still used Nvidia just older models
That's the funniest part here, the sell off makes no sense. So what if some companies are better at utilizing AI than others, it all runs in the same hardware. Why sell stock in the hardware company? (Besides the separate issue of it being totally overvalued at the moment)
This would be kind of like if a study showed that American pilots were more skilled than European pilots, so investors sold stock in airbus... Either way, the pilots still need planes to fly...
Perhaps the stocks were massively overvalued and any negative news was going to start this sell off regardless of its actual impact?
That is my theory anyway.
Yeah, I think that's a pretty solid theory. Makes more sense when looked at that way.
Yes, but if they already have lots of planes, they don't need to keep buying more planes. Especially if their current planes can now run for longer.
AI is not going away but it will require less computing power and less capital investment. Not entirely unexpected as a trend, but this was a rapid jump that will catch some off guard. So capital will be reallocated.
Right, but in that metaphor, the study changes nothing, that was my point.
Ok, we’ll let’s keep the plane analogy. If they could run on 50% less fuel, would you invest in airline fuel companies, thinking they will be having bumper sales figures?
Are there any guides to running it locally?
I’m using Ollama to run my LLM’s. Going to see about using it for my twitch chat bot too