The article discusses how AI startup Deepseek’s decision to switch from using Chinese AI models to developing its own highlights broader challenges faced by Western companies trying to access Chinese AI technology. Deepseek initially planned to build applications using existing Chinese language models but faced difficulties due to China’s strict data regulations and export controls. The company’s pivot to developing proprietary models reflects growing concerns about reliance on Chinese AI technology amid geopolitical tensions. The article emphasizes how China’s regulatory environment, including requirements for government approval of AI exports and data transfer restrictions, creates significant barriers for international collaboration in AI development. This situation has led to a “decoupling” in the AI industry between China and the West, with companies increasingly forced to choose sides or develop independent capabilities. The piece also notes that while Chinese AI models have shown impressive capabilities, particularly in Chinese language processing, access limitations are pushing companies to seek alternatives. Deepseek’s experience serves as a case study of how geopolitical tensions and regulatory constraints are reshaping the global AI landscape, potentially leading to parallel development paths in Eastern and Western markets. The article concludes by suggesting this trend could continue, with companies increasingly developing region-specific AI solutions rather than relying on cross-border collaboration.
Source: https://www.businessinsider.com/deepseek-switch-ai-startups-struggle-access-chinese-models-2025-2