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With China’s DeepSeek, US tech fears red threat
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With China’s DeepSeek, US tech fears red threat

AFP

SAN FRANCISCO — The emergence of the DeepSeek chatbot has sent Silicon Valley into a frenzy, with calls to go faster on advancing artificial intelligence and beat communist-led China before it is too late.

California tech investors have usually kept their involvement in politics low key, generally supporting centrist politicians who don’t get in the way of their innovations and business plans.

But the AI revolution, and the potential ability of China to pose a direct threat to US dominance, has unnerved tech investors, who are now calling on the Donald Trump-led US government to help them take the battle to their Chinese rivals.

“It’s a huge geopolitical competition, and China’s running at it super hard,” warned Facebook titan Mark Zuckerberg on the Joe Rogan podcast.

He noted that DeepSeek is “a very advanced model” and that it censors historical events like Tiananmen Square, arguing that “we should want the American model to win.”

Traders work on the floor of the New York Stock Exchange during morning trading in New York City. —PHOTOS BY MICHAEL M. SANTIAGO/GETTY IMAGES/AFP

US edge may not last

Google, though not specifically mentioning DeepSeek, on Wednesday said the United States must take urgent action to maintain its narrow lead in artificial intelligence technology or risk losing its strategic advantage.

“America holds the lead in the AI race — but our advantage may not last,” it warned, calling for government help in AI chip production, streamlining regulations and beefing up cybersecurity against national adversaries.

This photo illustration shows the DeepSeek app on a mobile phone.

The emergence of DeepSeek’s lower cost breakthrough particularly threatens US-based AI leaders like OpenAI and Anthropic, which have invested billions in developing leading AI models.

OpenAI raised alarms Tuesday about Chinese companies attempting to copy their advanced AI models through distillation techniques, announcing plans to deepen collaboration with US authorities.

OpenAI investor Josh Kushner criticized so-called “pro-America technologists” who praise what he claims is Chinese AI built with misappropriated US technology.

Palmer Luckey, a Trump-supporting tech entrepreneur, suggested DeepSeek’s success was being amplified to undermine Trump’s policies.

‘WAKE-UP CALL’ Fears of upheaval in AI rocked Wall Street following DeepSeek’s emergence, with US President Donald Trump saying it was a “wake-up call” for Silicon Valley.

Soaring popularity

Despite US government efforts to maintain AI supremacy through export controls on advanced chips, DeepSeek has found ways to achieve comparable results using authorized, less sophisticated Nvidia semiconductors.

The app’s popularity has soared, topping Apple’s download charts, with US companies already incorporating its programming interface into their services.

Perplexity, an AI-assisted search engine startup, has begun using the technology while claiming that it keeps user data within the US.

IT ALL BEGAN HERE The headquarters of the AI startup DeepSeek is in Hangzhou, China.

The tech community can count on Washington, where concern about China has achieved rare bipartisan consensus.

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Last year, Republicans and Democrats passed a law ordering the divestment of TikTok, a subsidiary of the Chinese group ByteDance.

“If America falls behind China on AI, we will fall behind everywhere: economically, militarily, scientifically, educationally, everywhere,” the US Senate’s top Democrat Chuck Schumer said Tuesday.

“China’s innovation with DeepSeek is jarring, but it’s nothing compared to what will happen if China beats the US on the ultimate goal of AGI, artificial general intelligence. We cannot, we must not allow that to happen.”

Stock opened up flat amid the arrival of the Chinese artificial intelligence startup DeepSeek which sparked a sell-off in tech stocks.

‘Digital arm of CCP’

Representative Mark Green, a senior Republican said “let’s set the record straight — DeepSeek R1 is another digital arm of the Chinese Communist Party.”

However, some argue this aggressive approach may backfire, given Silicon Valley’s reliance on Chinese talent.

Nvidia researcher Zhiding Yu highlighted this concern on X, noting how a Chinese intern from his team joined DeepSeek in 2023.

“If we keep cooking up geo-political agendas and creating hostile opinions to Chinese researchers, we will shoot ourselves in the foot and lose even more competitiveness.”


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