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Chinese startup DeepSeek’s AI assistant became the top-rated free app on Apple’s U.S. App Store on Monday, overtaking OpenAI’s ChatGPT.
The app is powered by the DeepSeek-V3 model, which its creators claim rivals the most advanced closed-source AI models worldwide. It has quickly gained popularity among U.S. users since its launch on January 10, according to app analytics company Sensor Tower.
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DeepSeek’s rise challenges long-standing beliefs about U.S. dominance in AI and the effectiveness of Washington’s export controls, which aim to limit China’s access to advanced chips for AI development.
Since 2021, the Biden administration has expanded restrictions to block China from acquiring high-end Nvidia chips used for AI training. However, DeepSeek researchers previously revealed that their model was trained using Nvidia’s H800 chips at a cost of less than $6 million, raising questions about the effectiveness of U.S. trade policies.
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Founded in 2023 and based in Hangzhou, DeepSeek is still relatively unknown compared to major Chinese tech giants like Baidu, which created China’s first large-language AI model. While many Chinese companies have since developed their own AI models, DeepSeek is the first to be recognized by U.S. tech experts as competing with or even surpassing leading American AI systems.
