Our analysis shows that the total server CapEx for DeepSeek is ~$1.6B, with a considerable cost of $944M associated with operating such clusters. Similarly, all AI Labs and Hyperscalers have many more GPUs for various tasks including research and training then they they commit to an individual training run due to centralization of resources being a challenge. X.AI is unique as an AI lab with all their GPUs in 1 location.
semianalysis calls bullshit on DeepSneed, claims the Chinese are gutter oil drinking dog eating lying communists that actually spent 6 gorillion dorrars, not $5M
https://semianalysis.com/2025/01/31/deepseek-debates/
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Factcheck: WARNING! THIS CLAIM HAS BEEN CLASSIFIED AS DANGEROUS. PLEASE REMAIN STILL, AN AGENT WILL COME TO MEET YOU SHORTLY.
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"The tech industry continues to sneed at China after blacks-and-women-code-too fails to push America ahead of literal dog eating gutter oil deep fried bug people"
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Wow who could have fricking guessed
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yeah but the critical part is not much money it cost to develop the technique... the critical part is how much it costs to replicate the technique elsewhere.
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Seems like people are comparing the DeepSeek cost figure with the total development cost of other models though.
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yeah. a more reasonable explanation suggested training costs went from $100M a model to like $5M a model:
but there's more to it because they may train several modals repeatedly to pick the best one.
and the billions poured into big tech AI did not result in modals that could trained for millions instead, so they were planning to keep pouring billions into it.
it's complex, we'll see how long it takes for the market to it figure out, could be a while
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What's reality? I don't know. When my bird was looking at my computer monitor I thought, 'That bird has no idea what he's looking at.' And yet what does the bird do? Does he panic? No, he can't really panic, he just does the best he can. Is he able to live in a world where he's so ignorant? Well, he doesn't really have a choice. The bird is okay even though he doesn't understand the world. You're that bird looking at the monitor, and you're thinking to yourself, 'I can figure this out.' Maybe you have some bird ideas. Maybe that's the best you can do.
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https://semianalysis.com/2025/01/31/deepseek-debates/:
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