AI startups struggle for fast access to DeepSeek models
Feb 06, 2025 - businessinsider.com
AI startups are facing challenges accessing DeepSeek's large language models due to inconsistent and slow services from cloud providers, as well as issues with DeepSeek's own API. This is delaying the transition to low-cost AI solutions. Companies like Counterforce Health have struggled with multiple API providers, finding some too slow or unreliable. Fireworks AI has been the most consistent, but still operates at half the speed of DeepSeek's API. Concerns about data security with Chinese models also persist, particularly for businesses aiming to sell to large enterprises.
Despite these issues, the low cost of DeepSeek's models remains attractive to startups. Some companies, like Counterforce, are finding ways to anonymize data to mitigate security risks. The demand for DeepSeek's models has surged, prompting cloud providers to work on improving access and speed. However, the ongoing difficulties present opportunities for other open models to gain traction in the market.
Key takeaways:
AI startups are facing challenges accessing DeepSeek's large language models due to slow and unreliable cloud provider services.
DeepSeek's API has been down since January 26 due to a malicious attack, further complicating access to their models.
Security concerns about using Chinese AI models are causing hesitation among businesses, despite the low cost of DeepSeek's models.
Efforts are underway by cloud providers to improve access and speed for DeepSeek models, but the situation remains challenging.