In January, the Chinese tech startup DeepSeek stunned the world with the release of its R1 artificial intelligence model, which outperforms its major US-based competitors, at a fraction of the cost of development, requiring orders of magnitude less energy, and not relying on the latest and greatest semiconductors. The model is fully open source, and has been made available for free worldwide. The release of DeepSeek R1 led to an unprecedented drop in share price for several US tech giants, most notably chip-maker Nvidia, which has been attracting enormous investment on the premise that the future of AI relies on faster and better semiconductors.

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