Monday, 27 January 2025

The Rise Of DeepSeek That Does Artificial Intelligence at a Fraction Of Traditional AI.

Wow, the China developer of DeepSeek managed to setup and train its latest generative Artificial Intelligence ("AI") model at only US$5.6Mil relative to ChatGPT's US$100Mil which is just a fraction of its setup cost. Just when some folks were wondering whether this is a fake claim, the other shock that comes out is that it is open-source and anyone can just look in and see for themselves. 

This startling relevation will bring about chaos in the global stock markets for this week. Looks like AI sytems can be designed using cheaper Graphic Processing Units ("GPUs"). This is certainly not a too happy relevation for Nvidia and its stock price may decline while Advanced Micro Devices (AMD) GPUs may now be marketed as a serious and viable alternative to the faster GPUs from its rival Nvidia. Hopefully, the popular AI theme stocks do not decline too much else it may affect the overall global stocks markets. 

(Updated 28 Jan 2025: The bloodbath from DeepSeek threat wiped out US$1 trillion from worldwide Tech stocks with Nvidia valuation dropping by a whopping US$600 billion (-16.8%) overnight. Even SREITs with data centre focus theme such as Mapletree Industrial Trust , Keppel DC REIT and DigiCore REIT were not spared and saw a significant dip of -2.73%, -7.93% & - 6.03% respectively in a single day.) 
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4 comments:

  1. Newbie Investor27 January 2025 at 19:07

    This comment has been removed by the author.

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    1. Newbie Investor27 January 2025 at 23:43

      And I skittishly sold my super small 10 shares of Nvidia before market opens 😂

      Delete
    2. Blade Knight28 January 2025 at 08:07

      Hi Bro, you fast hand fast leg and managed to sell off your Nvidia quickly ar...steady! It seemed to be a blood bath for yesterday's trading on AI theme stocks. Nvidia chips were being used by Deepseek.....so if more AI products were being developed, there should still be a demand for Nvidia. I guess the only issue being debated by many analysts and experts are whether Nvidia current valuation and the future forecasted demand assumptions are in line with a more efficient computing design in future.

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    3. Newbie Investor28 January 2025 at 10:09

      Back to valuations... So... I think I just hide out now in VOO and VTV 😂
      I Timid 😂

      Delete

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