OpenAI CEO calls DeepSeek R1 'impressive' and says it's 'invigorating to have a new competitor'

DeepSeek is making waves with its cost-effective and powerful AI models, with OpenAI CEO Sam Altman praising the Chinese AI startup's AI advancements.

OpenAI CEO calls DeepSeek R1 'impressive' and says it's 'invigorating to have a new competitor'
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TL;DR: DeepSeek AI, a Chinese startup, has developed cost-effective large-language models using fewer GPUs, rivaling systems from OpenAI, Meta, and Google. This innovation led to a significant drop in NVIDIA's stock. Despite this, NVIDIA praised DeepSeek's advancements. OpenAI's CEO acknowledged DeepSeek's R1 model and hinted at upcoming superior models, emphasizing continued investment in AI development.

DeepSeek AI is making headlines because the Chinese startup has developed cutting-edge and cost-effective large-language models using fewer GPUs than systems costing billions from companies like OpenAI, Meta, and Google. With the company's flagship R1 model performing on par with OpenAI's o1, this has spilled over to the financial markets, where NVIDIA's stock dipped to the point where it saw the biggest single-day drop in US history.

OpenAI CEO calls DeepSeek R1 'impressive' and says it's 'invigorating to have a new competitor' 2

Despite its market cap dropping by several hundreds of billions, NVIDIA recently released a statement praising DeepSeek as "an excellent AI advancement and a perfect example of Test Time Scaling." DeepSeek's efforts are being widely praised because it didn't require billions of dollars of AI hardware to train.

OpenAI CEO Sam Altman released a short statement earlier today on social media on DeepSeek R1, praising it as an "impressive model" while teasing "much better models" coming soon from the company. He also said that OpenAI will bring a few releases forward in response to DeepSeek's surprising and immediate success.

While also teasing AGI.

"DeepSeek's R1 is an impressive model, particularly around what they're able to deliver for the price," Sam Altman wrote on X. "We will obviously deliver much better models, and also, it's legit invigorating to have a new competitor! We will pull up some releases."

"But mostly, we are excited to continue to execute on our research roadmap and believe more compute is more important now than ever before to succeed at our mission," Sam Altman adds, hinting that OpenAI won't be scaling back its use of countless GPUs for its training anytime soon. "The world is going to want to use a lot of AI and really be quite amazed by the next-gen models coming. We look forward to bringing you all AGI and beyond."

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Kosta is a veteran gaming journalist that cut his teeth on well-respected Aussie publications like PC PowerPlay and HYPER back when articles were printed on paper. A lifelong gamer since the 8-bit Nintendo era, it was the CD-ROM-powered 90s that cemented his love for all things games and technology. From point-and-click adventure games to RTS games with full-motion video cut-scenes and FPS titles referred to as Doom clones. Genres he still loves to this day. Kosta is also a musician, releasing dreamy electronic jams under the name Kbit.

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