DeepSeek Makes US to Hide and Seek

Those who have grown up in the early 1970’s and 1980’s know it well that there was a very sharp and cut throat competition between the US and the USSR. These two superpowers at that time didn’t leave any opportunity to outwit each other. Their competition ranged from space to the new innovations besides creation of strategic power blocs to assert their sphere of influence.With the disintegration of the USSR there was the global presence of the US in every sphere after the end of the Cold War in 1990’s.It enabled the US to exist as the sole superpower and shape the geo-strategic affairs unilaterally.It had a tremendous impact on the world markets and the economies. The US Dollar emerged as the key to decide the trade and business.Now there is a significant shift.The reason being that China is asserting.It has been proving from time to time that it cannot be taken lightly when it comes to the global economic order and the technological competence. China has been creating a new normal in terms of technological excellence.Recently,the US has banned the Tik Tok. Donald Trump, the new President of the US, had to reverse this decision. The new war for world supremacy has shifted to the new frontiers.It is no longer confined to the military war zones but the theatres of war being visible on the fronts. These range from tangible to intangible ones. Artificial Intelligence (AI) is one such new theatre of war that is deciding the credibility and impact of the nations and their capability to assert their writ.After taking over the reins of power in the US,President Donald Trump announced a $500bn AI boost to the Project Stargate. It was meant to give lead to the US in the field of AI.It has come as a big surprise that after such a huge injection of money to AI that a non-entity Chinese company DeepSeek has developed a cutting-edge AI model that costs just $6mn. DeepSeek was noticed in the market last year when it released its reasoning model known as R1 with a claim that it can compete with ChatGPT maker Open AI’s most sought o1 model. What has surprised experts is that the DeepSeek’s AI performance did not utilise the advanced Graphics Processing Units (GPU’s). These GPU’s were denied to China for some years.China overcame this handicap and used the chips that are considered as mules in this technology whereas the requirement was that of racehorse chips. Now the market situation is that the DeepSeek’s AI assistant is considered that it has emerged as the high rated free app on Apple store.It is being clearly reflected in the market vividly.It is threatening the expensive US technology platforms in the AI business.It has led to the stocks of leading chipmaker Nvidia to tumble. Chinese AI leap of DeepSeek has made severe impact on the stocks of ASML.This market mayhem has alarmed the global investors.The Indian markets too are already showing downslide.Market experts are of the opinion that the Indian IT companies took may be hit by this development.Investors are making clinical analysis. As they are concerned since a Chinese AI company having human collaboration and easily available hardware has turned a game changer.AI is indeed a new parameter of internalising the frontiers to rule the world.China opening new frontiers.India too has been cautious and is keeping an eye on the developments.That is why All India Council for Technical Education(AICTE) has designated 2025 as the “Year of Artificial Intelligence(AI)” to enable India to tread on the path of Artificial Intelligence(AI).China and US will surely engage in new hide and seek when it comes to rule the domain of AI.