DeepSeek, a Chinese AI powerhouse, has shaken the global tech landscape by introducing its DeepSeek-V3 model, which challenges the dominance of US AI technology. Despite US restrictions on advanced Nvidia GPUs, DeepSeek managed to train its model using Nvidia’s H800 GPUs, a restricted variant of the H100 model. The launch of DeepSeek-V3 raised eyebrows as it significantly impacted US tech stocks, particularly Nvidia, driving a $1 trillion loss in market value. The innovative training approach of DeepSeek-V3, cost-efficient methods, and the use of unique quantization techniques have positioned China’s AI capabilities as a formidable competitor on the world stage. The unveiling of DeepSeek’s technology marks a turning point in the AI race, signaling a paradigm shift in the industry dynamics that experts and analysts are closely monitoring.