🔴 DeepSeek: Lessons From a Sputnik Moment

"A lot of people are getting the DeepSeek moment (and China) wrong. Here is an explanation of why it is a game changer, based on experience in China and Asia. It is a turning point, because 150 Chinese engineers, paid $70,000 to $80,000 a year, developed an AI model far more efficiently than OpenAI's developers and their expensive American counterparts, at a far lower cost and much faster. Trump has understood this. Curiously, many in tech do not get it, or probably have interests to protect."

Some context:

DeepSeek has at most 150 engineers, at a company based in Hangzhou, probably paid between $70,000 and $100,000 a year. That is roughly 8 to 10 times cheaper than the best engineers in Silicon Valley.

This is not an initiative sponsored by the Chinese government.
The Chinese premier was so surprised by all this that he traveled to Hangzhou last weekend to understand what was going on.