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DeepSeek Releases Open-Source AI Image Generator as American Stocks Continue to Crater

Jan 27, 2025 - gizmodo.com
DeepSeek, a Chinese startup, has released Janus-Pro-7B, an open-source AI image generator that reportedly surpasses OpenAI's DALL-E and Stability AI's Stable Diffusion. This follows the success of their R1 model, which outpaced ChatGPT in downloads on the Apple app store. DeepSeek claims to have developed R1 in just two months with $6 million, contrasting sharply with the resources of U.S. tech giants like OpenAI. The company's rapid advancements have caused significant disruptions in the U.S. stock market, as investors react to the potential threat DeepSeek poses to established AI firms.

Despite facing "large-scale malicious attacks" on its network, DeepSeek's innovations have sparked discussions about the future of the AI industry in the U.S. The Trump administration's $500 billion "Stargate" initiative to build AI infrastructure highlights America's commitment to maintaining its lead in AI technology. While some view DeepSeek's rise as a challenge to U.S. dominance, others believe it could intensify America's focus on AI development, as the country strives to remain at the forefront of technological advancements.

Key takeaways:

  • DeepSeek, a Chinese startup, has released an open-source AI image generator, Janus-Pro-7B, claiming it outperforms OpenAI's DALL-E and Stability AI's Stable Diffusion.
  • The company's R1 model, an open-source reasoning model, has surpassed ChatGPT in downloads on the Apple app store, created in just two months with $6 million.
  • DeepSeek has faced large-scale malicious attacks on its network, leading to temporary limitations on user registrations.
  • The success of DeepSeek's models has caused significant reactions in the U.S. stock market, with potential implications for America's AI industry commitment.
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