By now, you surely have heard about the Chinese DeepSeek R1 model – a model that cost a mere $6M to train (on only 2,000 NVIDIA chips) and is as good as ChatGPT’s o1 model (which cost at least 20 times more to train).
It’s a massive problem for the massively overhyped (and overpriced) US-based AI juggernauts – and the market is catching up. This is NVIDIA right now:
If it was ever a question, the moats in AI models are crumbling…
Here is a good read on the topic: The Short Case for Nvidia Stock
