Nvidia CEO Defends AI Strategy After DeepSeek's Disruptive Breakthrough

Jensen Huang calls China's open-source AI model a catalyst for growth, despite investor fears of reduced chip demand.

DeepSeek's R1 reasoning model, released in January, triggered a $600 billion drop in Nvidia's market cap, but Huang argues the market misinterpreted its impact.
Huang emphasized that post-training processes, which are computationally intensive, will sustain demand for Nvidia's GPUs despite DeepSeek's cost-efficient advancements.
DeepSeek's open-source approach has spurred global interest, with plans to release five code repositories next week to enhance transparency and collaboration.
Chinese policymakers view DeepSeek as a strategic milestone that bolsters the nation's AI self-reliance and challenges U.S. technological dominance.
Security and censorship concerns linger around DeepSeek, with some nations imposing restrictions, but its impact on AI innovation and adoption remains significant.