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  • Founded Date March 22, 1990
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Company Description

How DeepSeek and Next-generation aI Agents might Erode Value Of Language Models

In the web transformation, we’re moving from constructing websites as the primary business to actually building internet-native business – so, the Airbnb of AI, the Stripe of AI,” he added. “They are not about the design. They have to do with the system and how you make the model useful for jobs.”

The arrival of DeepSeek’s R1 design last week is seen by some tech CEOs as an additional indication LLMs are ending up being increasingly commoditized.

R1 includes some key aspects that distinguish it from other designs on the market. For example, the model integrates a “combined precision” framework that utilizes a mix of full-precision 32-bit floating point (FP32) numbers and low-precision 8-bit drifting point (FP8) numbers.

The latter is faster to process but can be less accurate. However, instead of depend on one or the other, DeepSeek utilizes FP8 for a lot of computations and switches to FP32 for certain jobs where a greater degree of precision is required.

“As AI gets more efficient and accessible, we will see its use skyrocket, turning it into a product we simply can’t get enough of,” Microsoft CEO Satya Nadella wrote on social networks platform X, in an apparent recommendation to DeepSeek.

Meanwhile, Matt Calkins, CEO of U.S. software firm Appian, informed CNBC that DeepSeek’s success just shows that AI designs are going to end up being more of a commodity in the future.

“In my opinion, we’re going to see a commoditization of AI. Many companies will accomplish competitive AI, and a lack of will be bad for high-spending first-movers,” Calkins stated by means of email.