this post was submitted on 27 Jan 2025
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Nvidia falls 14% in premarket trading as China's DeepSeek triggers global tech sell-off (www.cnbc.com)
submitted 3 days ago by schizoidman@lemm.ee to c/technology@lemmy.world
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cross-posted from: https://lemm.ee/post/53805638

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[–] UnderpantsWeevil@lemmy.world 11 points 3 days ago

…that is, this isn’t yet the end of the AI bubble.

The "bubble" in AI is predicated on proprietary software that's been oversold and underdelivered.

If I can outrun OpenAI's super secret algorithm with 1/100th the physical resources, the $13B Microsoft handed Sam Altman's company starts looking like burned capital.

And the way this blows up the reputation of AI hype-artists makes it harder for investors to be induced to send US firms money. Why not contract with Hangzhou DeepSeek Artificial Intelligence directly, rather than ask OpenAI to adopt a model that's better than anything they've produced to date?