GUWAHATI: US President Donald Trump issued a warning about DeepSeek AI on Tuesday, January 28, stating that the low-cost Chinese artificial intelligence (AI) tool has disrupted global tech markets.
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Speaking at a Republic congressional retreat, Trump called the Chinese AI a “wake-up call” for American industries after it recently triggered a major sell-off in tech stocks on Wall Street.
Keeping the comparison in mind, Trump emphasised the need for American companies to prioritise innovation to maintain their competitive edge. “Hopefully, the release of DeepSeek AI from a Chinese company should be a wake-up call for our industries that we need to be laser-focused on competing to win,” he said.
While acknowledging the challenges posed by DeepSeek, Trump further suggested that it could push US companies toward developing more cost-effective AI technologies to keep the competition alive, calling the disruption a “positive effect” in the long run.
DeepSeek has been developed by a Chinese startup founded by Liang Wenfeng and headquartered in Hangzhou. It is gaining attention for its ability to rival top-tier US AI models like OpenAI’s ChatGPT, despite being built at a fraction of the cost.
Its recently launched R1 model has also been noted for delivering comparable results with significantly lower operating expenses, creating anxiety about the future competitiveness of American AI firms.
However, DeepSeek’s content restrictions on politically sensitive topics has come to the forefront as well, such as its reluctance to engage in conversations related to the Chinese government.
