I’m buying Nvidia stocks': DeepSeek’s cheap AI won’t doom NVIDIA, says former Intel CEO Pat Gelsinger

The Chinese AI startup DeepSeek obviously turned heads in the tech world last week with its low-cost AI assistant, which is reportedly being trained and operated at 20 to 50 times less cost than OpenAI’s models. The announcement had a big impact on the stock market, with as much as $600 billion being wiped off the market value of Nvidia as investors were worried about the possibility of less demand.

In a post on LinkedIn, which was, for the most part, eulogistic of the prospect (only a sprig of defiance leaked out), Gelsinger fortressed that DeepSeek's discovery was really a win-win situation for the AI market and even more beneficial for businesses like Nvidia.

Less expensive AI innovation

It will bring the market to the masses Gelsinger declared that fears regarding the application of more affordable AI approaches to compete with traditional computing industry are unfounded. In his opinion, the situation will resemble the growth peaking of PCs and mobile phones, where the delivery of technology at a reasonable price triggered an inundation of users. “The market is getting it wrong.

Restrictions inspire creativity

The success of DeepSeek is a living example of the combination of innovation with difficulty. Despite their export ban and limited hardware, the startup managed to put a world-class AI solution together. Gelsinger also noted that most of the most important discoveries and inventions in the computer industry were responses to major limitations.

Transparency and open-door policy

It leads to the discovery of truth and progress In his statement, the VMware Chief Executive Officer also made a special mention of the trend of moving towards closed proprietary open-source AI. He pointed out that such systems curtail the opportunity to create an environment for innovation and make technology development more transparent.