DeepSeek solidified open-source AI as a serious contender — AI founder

Dr. Ala Shaabana, co-founder of the OpenTensor Foundation, said open-source AI development began to catch up with centralized AI in 2022.
The release of DeepSeek, which was reportedly trained at a fraction of the cost of leading models, has solidified open-source AI as a serious challenge to centrally managed projects, Dr. Ala Shaabana — co-founder of the OpenTensor Foundation — told Cointelegraph.
According to the founder, DeepSeek calls into question the entire paradigm of centrally managed AI, which costs tens of billions of dollars to develop and train. The OpenTensor Foundation co-founder added:
“DeepSeek built a really high-performance model with a more open and collaborative approach. It proves that things like efficiency, collective intelligence, and innovation can actually rival sheer financial power.”
Dr. Shaabana attributed the rapid progress of open-source AI, and the narrowing of the gap between centralized systems, to a procedural shift in academia, requiring researchers to include their code with their papers in order to submit to academic journals for publication.
The doctor added that increased regulations on centralized systems, including potential geographic restrictions on data due to geopolitical tensions, could place further burdens on centralized AI projects.
The costs and regulatory burdens resulting from increased regulations would widen the gap between centralized and open-source systems, which are not susceptible to those constraints.
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DeepSeek sews panic among US politicians
DeepSeek is an open-source AI model developed in China that took the AI world by surprise, causing a stock market crash, and a knee-jerk reaction from United States lawmakers.
Following the disruptive launch of DeepSeek, which many characterized as a black-swan event, reports emerged that the Trump administration was considering tighter export controls on Nvidia AI chip sales to China.
US Senator Josh Hawley introduced a bill to prohibit the import of AI products developed in China and the export of US-developed AI tech to China on Jan. 29.
“Every dollar and gig of data that flows into Chinese AI are dollars and data that will ultimately be used against the United States,” the Senator wrote in the announcement accompanying the bill.
The Senator’s office specifically named DeepSeek in the announcement justifying the rationale behind the introduction of the bill.