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China's DeepSeek Says Its Hit AI Model Cost Just $294,000 To Train

3 months 1 week ago
Chinese AI developer DeepSeek said it spent $294,000 on training its R1 model, much lower than figures reported for U.S. rivals, in a paper that is likely to reignite debate over Beijing's place in the race to develop artificial intelligence. Reuters: The rare update from the Hangzhou-based company -- the first estimate it has released of R1's training costs -- appeared in a peer-reviewed article in the academic journal Nature published on Wednesday. DeepSeek's release of what it said were lower-cost AI systems in January prompted global investors to dump tech stocks as they worried the new models could threaten the dominance of AI leaders including Nvidia. Since then, the company and founder Liang Wenfeng have largely disappeared from public view, apart from pushing out a few new product updates. [...] The Nature article, which listed Liang as one of the co-authors, said DeepSeek's reasoning-focused R1 model cost $294,000 to train and used 512 Nvidia H800 chips. Sam Altman, CEO of U.S. AI giant OpenAI, said in 2023 that what he called "foundational model training" had cost "much more" than $100 million - though his company has not given detailed figures for any of its releases.

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Amazon Violated Online Shopper Protection Law, Judge Rules Ahead of Prime Signup Trial

3 months 1 week ago
Amazon violated consumer protection law by gathering Prime subscribers' billing information before disclosing the service's terms, a judge ruled on Wednesday, handing the U.S. Federal Trade Commission a partial win. From a report: The ruling by U.S. District Judge John Chun in the case accusing Amazon of deceptive practices to generate Prime subscriptions puts the company at a disadvantage at trial. The FTC is poised to argue that the online retailer signed up tens of millions of customers for Prime without their consent, and thwarted tens of millions of cancellation bids through complex cancellation methods. The agency says those actions violated the Restore Online Shoppers Confidence Act (ROSCA).

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