DeepSeek's Open-Source AI Challenges US Tech Dominance

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DeepSeek's Open-Source AI Challenges US Tech Dominance
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A Chinese AI startup, DeepSeek, has developed a powerful open-source AI model, raising questions about the effectiveness of US efforts to restrict China's access to high-end technology. The company's rapid rise and reliance on open-source code present a unique challenge for US regulators.

DeepSeek's meteoric rise has ignited concerns about the efficacy of Washington's attempts to restrict China 's access to advanced technology, particularly in the field of artificial intelligence (AI), citing national security apprehensions. The Hangzhou-based startup asserts that it developed its groundbreaking model using less sophisticated Nvidia H800 chips, which were accessible before the U.S. government expanded export restrictions in October 2023.

DeepSeek's rapid ascent and its reliance on open-source code present a formidable challenge to U.S. regulatory efforts aimed at curtailing China's AI ambitions. While additional export controls imposed by the U.S. government could potentially limit DeepSeek's operations, the effectiveness of such measures remains uncertain. Lawrence Ward, a partner at U.S.-based law firm Dorsey & Whitney specializing in national security law, suggests that DeepSeek's extensive use of open-source code may mitigate the impact of these restrictions. The use of specific Nvidia chips by DeepSeek could expose the company to civil and criminal penalties. However, enforcing these penalties could prove difficult, if not impossible, according to Ward. Experts emphasize the complexities inherent in restricting an open-source model, particularly one that is widely adopted and utilized by organizations and individuals globally. Paul Triolo, a partner at Albright Stone Group, proposes that the Commerce Department could implement regulations requiring tech giants such as Apple and Google to remove DeepSeek's app from their platforms, thereby limiting its accessibility in the U.S. market. However, enforcing such a measure on other platforms like Github, where DeepSeek claims its app is readily available, could be significantly more challenging

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