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DeepSeek's free AI chatbot challenges ChatGPT, causing a significant drop in OpenAI’s market value.
Chinese startup DeepSeek's new AI chatbot, DeepSeek R1, has emerged as a cheaper competitor to OpenAI’s ChatGPT, causing a 17% drop in OpenAI’s share value and erasing $590 billion in market capitalization.
DeepSeek R1, available for free in the App Store, offers similar performance to ChatGPT but at a significantly lower cost, potentially challenging the dominance of established AI players.
Both chatbots excel in different areas, with ChatGPT leading in creativity and up-to-date information, while DeepSeek shines in technical tasks like coding and solving complex equations.