DeepSeek Service Disruptions: A Test of the Chinese AI Firm’s Resilience
DeepSeek, a Chinese AI firm, is grappling with service disruptions and restricting new account sign-ups to combat large-scale malicious attacks. The company’s chat app, which recently reached the top of Apple’s App Store, has issued a notice on its website stating that only users with China-based phone numbers (+86) will be permitted to register for the foreseeable future.
The notice, issued by DeepSeek, states: “DeepSeek’s online services have recently faced large-scale malicious attacks. To ensure continued service, registration is temporarily limited to +86 phone numbers. Existing users can log in as usual.” As of writing, sign-ups have reopened with a warning that “registration may be busy” and to please wait and try again.
Despite the challenges, existing users remain unaffected in terms of access. DeepSeek’s status page reported ongoing issues on Monday morning, adding to a turbulent day for the breakthrough AI platform.
DeepSeek Faces Test After Explosive Growth
DeepSeek has quickly become a disruptive force in the race for AI supremacy. In addition to gaining widespread user adoption, the app’s powerful open-source AI model has sparked waves of concern among US-based Big Tech firms.
The app’s strength lies in its ability to deliver robust AI performance on less-advanced chips, creating a more cost-effective and accessible solution compared to high-profile rivals such as OpenAI’s ChatGPT. This key differentiation has shaken investor confidence, leading to a significant dip in share prices for major US technology firms.
Industry watchers suggest that such shocks may become more frequent as innovative competitors like DeepSeek challenge the dominance of traditional tech players. Nigel Green, CEO of global financial advisory firm deVere Group, commented: “China’s technological advances, particularly in AI, are eroding the US’s ability to use tariffs as a tool to maintain global supremacy.”
“The balance of power is shifting, and Washington must recognise that it can’t always dictate terms to Beijing as it once did. This new reality will have far-reaching consequences for investors and policymakers,” Green added. “AI will be the defining technology of our time, and the race to dominate it will shape global markets for decades to come.”
Green highlighted the potential for non-traditional players and regions to seize the AI crown. “Traditional tech giants are no longer the guaranteed winners. The focus must now shift to sectors and regions that are driving the next wave of innovation. This includes not only AI but also the critical infrastructure needed to support and secure it.”
The latest developments come against the broader canvas of growing competition between China and the US in the domain of AI and emerging technologies. Despite export restrictions on US hardware, Beijing’s AI sector has been powering ahead, spurred by significant government investments and a burgeoning ecosystem of innovative startups.
The rise of apps like DeepSeek signals that the playing field is no longer tilted decisively in favour of Silicon Valley. For years, US companies have been buoyed by leading semiconductor technologies from domestic firms like NVIDIA. China’s ability to deliver competitive AI capabilities on less-advanced hardware could mark a significant turning point.
However, DeepSeek’s struggles highlight the growing pains that can accompany explosive growth. As the AI landscape continues to evolve, it is essential for companies like DeepSeek to navigate the challenges and opportunities that come with rapid expansion.
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Tags: ai, artificial intelligence, China, DeepSeek
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