Huawei and DeepSeek Poised to Reshape China’s AI Landscape Despite US Ban
Huawei and DeepSeek Revolutionizing China’s AI Industry Amid US Sanctions
Huawei and DeepSeek are working together to transform China’s AI sector. While Huawei focuses on developing advanced AI chips as a viable alternative to foreign processors, DeepSeek is committed to delivering high-performance AI solutions at an affordable cost.
Recent developments between the US and China have drawn attention, particularly due to the introduction of DeepSeek’s latest AI models, powered by Huawei’s Ascend 910C processors.
DeepSeek: China’s Rising AI Power
DeepSeek has unveiled two AI models—R1 and V3. R1 specializes in logical reasoning, while V3 functions as a large language model (LLM). Both models offer cutting-edge AI capabilities, including:
- Answering real-world queries
- Explaining complex theories
- Solving mathematical and logical reasoning problems
Competitive Edge Over Global Rivals
DeepSeek’s open-source, efficient, and cost-effective approach has positioned it as a strong competitor to AI giants like OpenAI and Google Gemini. Official reports indicate that DeepSeek models excel in:
- Complex logistics and supply chain management
- Addressing advanced coding challenges
- Assisting researchers with innovative ideas
Unlike many AI platforms that impose limits even on paid plans, DeepSeek R1-based applications offer unlimited access. While OpenAI’s GPT-4 Turbo costs $15 per million input tokens, DeepSeek provides similar services for just $0.55—setting a new benchmark for affordability in AI solutions.
Huawei & DeepSeek
Interestingly, DeepSeek R1 has been trained by Nvidia H100 chips but it runs on Huawei Ascend 910C for inference, reducing China’s AI reliance on the US products.
Huawei has built Ascend 910C with several improved components. The tech giant said that testing proved 910C efficient in various aspects over Nvidia’s chipsets.
Although the DeepSeek team reportedly mentioned that Huawei Ascend 910C has achieved 60% of Nvidia H100 performance in terms of inference operations. It eventually hints that China is taking significant measures to withstand US challenges.
Despite the lack of advanced technologies and appropriate facilities, China is introducing innovative products that can give a tough spot to foreign alternatives.
Huawei and DeepSeek merger is proof that China is increasing its self-capabilities instead of depending on others. It’s just the beginning as Huawei is constantly seeking ways to improve its AI chipsets and make them better in front of Nvidia.
US on the other hand, began banning DeepSeek services for its companies. It even put forth strict penalties on those who break the laws and use Chinese AI models.
How these restrictions will affect Huawei and China’s AI enhancement goal in the time ahead would be worth looking at.