Nvidia’s dominance at risk?
DeepSeek signifies a breakthrough in the already rapid growth of computing efficiency, with its claims that low-cost, open-source models can be another way to play the artificial intelligence game instead of committing to massive capital expenditure. While these models are still in their infancy with limited capabilities, businesses will now find it easier to develop their own customised large language models.
In a Feb 18 report, DBS Group Research says that demand for advanced AI chips, particularly from hyperscalers, will remain strong for now as “they seek a competitive edge and AI monetisation stays viable.” However, this might change if customers start turning to cost-efficient solutions with cheaper chips.
