The Battle of AI Giants: OpenAI vs. DeepSeek

Published On Thu Jan 30 2025
The Battle of AI Giants: OpenAI vs. DeepSeek

OpenAI Claims DeepSeek Plagiarized Its Plagiarism Machine

OpenAI and Microsoft have raised concerns over Chinese AI startup DeepSeek allegedly infringing on their market share and even possibly using parts of their code without authorization. The irony is not lost on OpenAI, given that they developed ChatGPT, a program that heavily relies on open access to copyrighted data from around the world.

According to a report by The Financial Times, OpenAI has accused DeepSeek of utilizing a technique called "distillation" to create its highly successful chatbot. Distillation involves one AI model learning from another by mimicking its reasoning process, essentially transferring knowledge from the parent model to the student model.

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Allegations and Lack of Evidence

OpenAI claims that DeepSeek extracted information from ChatGPT to train its own model, thereby achieving similar results at a significantly lower cost. However, OpenAI did not provide concrete evidence to support their allegations. Despite the lack of proof, OpenAI's David Sacks, a prominent figure in the tech industry, expressed discontent over DeepSeek's actions.

In a statement to Bloomberg, an insider revealed that Microsoft identified unusual activity related to ChatGPT's API, potentially linked to DeepSeek's activities. If proven true, DeepSeek may have violated ChatGPT's terms of service by using its data without authorization.

The Impact and Response

The rise of DeepSeek coincided with a significant decline in market value for AI companies, including NVIDIA, a key player in AI chip manufacturing. Despite the challenges, Sacks reassured the public that the US still holds a competitive edge in AI and emphasized the importance of investing in advanced infrastructure.

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Sacks attributed China's progress in AI to regulatory burdens and a shift towards social issues within AI companies, diverting attention from technological advancements. He criticized the focus on diversity, equity, and inclusion (DEI) initiatives, suggesting that it distracted from innovation.

As the controversy unfolds, DeepSeek maintains its position as the top AI company on the Apple App Store, signaling ongoing developments in the competitive AI landscape.

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