As someone who follows AI basically minute-to-minute, I'm a little confused about why everyone is freaking out so much about DeepSeek & R1. Normal (non-tech) people are asking me about it today. The stock market is freaking out.
Why is this news—which is mostly technical and incremental—causing such panic?
They seem to have matched OpenAI model capability on a fraction of the resources. R1 is roughly as good as o1 and can be run locally. There are some interesting contributions in the paper too. So I see it as two parts, (1) the money, lots invested, wondering if they will ever make it back now (2) China showing impressive results while being handicapped by the West
China's AI says it is using less power and cost less, yet what I heard is that it's more powerful. How can it be? I know that China lies about it, but can people be that gullible to believe that?
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No, it has not been audited, and it has strong incentives to lie about its costs as if it announced costs anywhere near OpenAI it would be admitting to violating US Law.
Readit News
Why is this news—which is mostly technical and incremental—causing such panic?
https://arxiv.org/abs/2501.12948
Keep an eye on the effort to reproduce here: https://github.com/huggingface/open-r1
We will see if the (over?) reaction matches reality in time. Media sure loves to whipsaw us all around
They successfully distilled the reasoning capabilities from larger models into much smaller ones. e.g. Their 14B model outperforms other 32B models.
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