DeepSeek runs on Huawei AI chips!

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Yesterday, we told you about a nasty drop in NVIDIA’s market capitalization. The cause? China’s new DeepSeek AI, which is challenging the chameleon’s dependence on artificial intelligence. Apparently, the R1 model used by the company performs its inference work on Huawei Ascend 910C chips!

DeepSeek runs on Huawei hardware!

DeepSeek

Lately, things haven’t been going well in the tech sector, with the stock market reporting a loss of $2,000 Billion , or $589 Billion for NVIDIA alone. It has to be said that, despite the sanctions imposed by the United States, the Chinese have managed to offer a high-performance product developed at low cost, all without having official access to cutting-edge hardware.

Well, Wccftech has just clarified the cost of the solution. Apparently, the $5.6 million mentioned is simply for the final operation of the AI. Next, the computing power required to train the model is controversial, while it is mentioned that DeepSeek has access to some 50,000 H100s.

Huawei Ascend 910C
Source image : ExtremeTech

Nevertheless, what’s interesting here is that the inference tasks are performed with Chinese hardware from Huawei. In fact, we’re talking about the company’s Ascend 910C chip. Although final specifications are not yet known, the latter is considered to be a strong competitor to NVIDIA’s hardware. What’s more, Huawei will shortly be launching mass production to make it widely available, while the company is working on a second generation to rival NVIDIA’s Blackwell chips.

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Once again, let’s remember that we’re caught up in geopolitical tensions between the USA and China. China’s aim is to demonstrate its ability to do without American hardware, while the Americans’ aim is to prove themselves technologically indispensable. Of course, in the middle, there’s a lot of “propaganda” serving one narrative or the other.