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Chinese AI startup DeepSeek has surged past OpenAI’s ChatGPT in Apple’s App Store downloads, sparking national pride and raising concerns for U.S. tech giants. The company recently launched a free AI assistant that operates at a fraction of the cost, challenging the sustainability of industry leaders like Microsoft (NASDAQ:MSFT) and Nvidia (NASDAQ:NVDA).
Chinese state media and social platforms have celebrated DeepSeek’s success, framing it as a victory against U.S. restrictions on China’s tech sector. Military commentator Chen Xi asserted on WeChat that U.S. sanctions on advanced technology have failed. The Zhejiang provincial media office echoed this sentiment, stating that China can compete and even surpass global AI leaders.
DeepSeek’s rise mirrors Huawei’s surprise launch of the Mate 60 Pro in 2023, which defied U.S. efforts to limit China’s semiconductor access. The AI company’s rapid adoption has fueled optimism about China’s potential to lead in AI innovation.
Public reactions on Chinese social media have been overwhelmingly positive. Beijing-based journalist Chen Jianuo expressed pride in DeepSeek’s global recognition, while student Leo Li was excited about a homegrown company rivaling Meta (NASDAQ:META) and OpenAI.
Even U.S. political figures have taken notice. Former President Donald Trump acknowledged DeepSeek’s technology, calling it a challenge for American companies to innovate.
DeepSeek’s disruptive model raises critical questions about AI competition, cost efficiency, and geopolitical implications, positioning China as a formidable player in the global AI race.
