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Founded Date July 7, 1966
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How DeepSeek and Next-generation aI Agents could Erode Value Of Language Models
In the internet transformation, we’re moving from constructing websites as the main service to really building internet-native companies – so, the Airbnb of AI, the Stripe of AI,” he added. “They are not about the design. They are about the system and how you make the model helpful for jobs.”
The arrival of DeepSeek’s R1 model last week is viewed by some tech CEOs as a further indication LLMs are becoming increasingly commoditized.
R1 incorporates some essential aspects that separate it from other models on the market. For instance, the design integrates a “combined precision” structure that utilizes a combination of full-precision 32-bit floating point (FP32) numbers and low-precision 8-bit drifting point (FP8) numbers.
The latter is faster to process however can be less precise. However, instead of rely on one or the other, DeepSeek utilizes FP8 for the majority of calculations and switches to FP32 for particular tasks where a higher degree of accuracy is needed.
“As AI gets more effective and available, we will see its use skyrocket, turning it into a commodity we just can’t get enough of,” Microsoft CEO Satya Nadella composed on social media platform X, in an evident recommendation to DeepSeek.
Meanwhile, Matt Calkins, CEO of U.S. software firm Appian, told CNBC that DeepSeek’s success just shows that AI designs are going to become more of a product in the future.
“In my opinion, we’re visiting a commoditization of AI. Many companies will accomplish competitive AI, and an of distinction will be bad for high-spending first-movers,” Calkins stated through email.