Shark Tank investor Robert Herjavec talked about the recent release of DeepSeek AI in America. The China-based company has recently released its new AI model in America and given away the entire code for free. Technologists suspect that the app uses a "distillation model" that is based on US AI giants such as OpenAI.
The distillation method refers to a process where a new AI software gets its data from an existing software and learns from it. This process might be difficult to stop, according to investors in Silicon Valley.
Reuters has recently reported that a spokesperson from ChatGPT may know a group in China that has been trying to "replace US AI models through distillation." This has caused concern, and they are investigating if DeepSeek is such an AI model or not.
Shark Tank investor Robert Herjavec, talking about the same, has said that this software is going to cause chaos in the AI industry. He explained,
"DeepSeek has basically thrown chaos into the AI world. And I have to tell you, I think it's just the beginning."
Shark Tank investor Robert Herjavec shares his opinion about DeepSeek
Explaining what is happening in the US right now, Shark Tank investor Robert says that everyone is focused on this small new thing that has entered the market.
However, he predicts that there is more to come that we have not seen yet. He also said that software is going to inevitably rule over hardware, and with AI, that's a very huge possibility. Robert said,
"Think of it this way, think of it like a glass and there's a small crack in it and everybody overreacts, says 'Oh there's a small crack in it.' But I'm telling you, more is to come. There's an inevitability with AI that software will overrule hardware. The amount of value and growth in hardware stocks like Nvidia in the last year has been astronomical, for good reason."
Continuing further, Shark Tank investor Robert then explained the importance of good AI. It constitutes a cheaper and faster software that learns quickly and is easily available to the population. This is what people will start using instead of the next big thing, and it will create even more competition in the industry. He says,
"But if we've learned one thing from DeepSeek is that you can do it better, cheaper, faster and efficiency always rules the day. That's another problem with AI. It is the amount of processing power is just so massive. And if we know anything about tech we know it destroys its own and everything becomes efficient."
He proceeded to say,
"AI is all about a data strategy. The more efficient you can make your data, the more federated, the better the AI is. Here's the good news. The cheaper the cost to get into it, the more people that will use it, the more adoption. And don't forget this, AI is definitely taking over the world."
People in the US are currently dicey about whether DeepSeek is the real deal or not. The main issues are privacy concerns.
The government in the United States is in the middle of deciding a fate for the Chinese app TikTok, which they think is leaking personal data from the country, while new software, DeepSeek, started making headlines. Some analysts are claiming that it may be a Trojan horse from China aiming to capture data in the United States.
Shark Tank season 15 episodes air on ABC weekly on Fridays at 8 PM Eastern Time.