January 2025, and a scrappy Hangzhou start-up drops an open-weight model (R1) that costs ~US $6 million to train—peanuts next to GPT-4’s rumored $100 million price tag. Within a week its free iOS app dethrones ChatGPT on the U.S. App Store, and almost $600 billion evaporates from Nvidia’s market cap in a single trading day. That’s DeepSeek’s origin story—equal parts David-and-Goliath and Sino-Silicon Valley rivalry.
DeepSeek vs. the Usual Suspects (ChatGPT, Gemini, Claude)
| DeepSeek R1 | ChatGPT (GPT-4-o) | Gemini 1.5 Pro | |
|---|---|---|---|
| License | MIT (weights open, API EULA China-law) | Closed | Closed |
| Reported training cost | $6 M | $100 M+ | Undisclosed |
| Reasoning benchmarks | Par w/ GPT-4 on GSM-Hard | – | – |
| Price (API) | ~70 % cheaper per 1k tokens | Baseline | 20 % cheaper than GPT-4 |
Real-world test: I asked all three models to draft a Dubai DMCC business-setup checklist. DeepSeek missed one VAT nuance but nailed Arabic translation; ChatGPT caught the nuance but mistranslated a legal term; Gemini hallucinated an outdated free-zone fee. Choose your poison.
Legality & bans — your headline questions
| Question | Short answer | Details & examples |
|---|---|---|
| Why is DeepSeek “getting banned”? | Mostly compliance-driven blocks, not global bans. | The U.S. Commerce Dept. barred it on government devices citing supply-chain risk; Italy’s privacy watchdog temporarily blocked the app over GDPR concerns. |
| Is DeepSeek legal? | Yes for private use in most countries. | The model weights are MIT-licensed; commercial API use is governed by PRC law and subject to local data rules. Enterprises need counsel. |
| Is it illegal to download from DeepSeek? | No, unless your employer or government restricts it. | U.S. federal staff can’t install it on GFE laptops; consumers face no ban. |
| Did Italy ban DeepSeek? | Italy issued a temporary block (Jan 2025) until privacy fixes; still under review. | |
| Which country banned AI? | No nation has an outright AI ban, but China blocks ChatGPT, and Italy briefly blocked ChatGPT & DeepSeek over privacy. | |
| Is ChatGPT banned in China? | Direct access is blocked; domestic proxies exist. | |
| Where is DeepSeek banned? | U.S. Commerce networks, Italian app stores (pending), some corporate firewalls. |
Performance, pricing & “Is it smarter?”
“Is DeepSeek smarter than ChatGPT?”
Benchmarks on GSM-Hard, MATH, and ARC-Challenge show R1 neck-and-neck with GPT-4-Turquoise, but GPT-4-o still wins in coding edge-cases. In my own code-generation test (building a Flask API for prime-factorization), DeepSeek produced runnable code in one shot; GPT-4 added logging and unit tests. “Smarter” depends on your workload.
“Why is DeepSeek so cheap?”
MoE layers + ruthless GPU efficiency let them train with 1/10th the compute. They also leverage PRC subsidies for data centers.
“Big deal?”
That efficiency shook hardware assumptions; Nvidia lost a world-record $593 billion in a day as traders questioned AI chip demand.
Safety, privacy & detection
| FAQ | What we know |
|---|---|
| Is DeepSeek safe on iPhone? | Researchers found the iOS app disables App Transport Security and sends some data unencrypted to servers in China. Limit permissions, or use the open weights locally. |
| Does DeepSeek collect your data / send it to China? | Yes. Privacy policy allows broad data collection and cross-border transfer. |
| Is DeepSeek detectable? | Text-forensics tools can flag its distinct token patterns; open weights make signature-based detection easier than with closed models. |
| How safe is DeepSeek on Reddit? | The r/cybersecurity_help consensus: safe only if you sandbox or self-host. |
| Can you anonymously use DeepSeek? | Running the weights locally via Ollama keeps traffic off DeepSeek’s servers; just mind the license notice. |
Uptime, “Server Busy,” and the Reddit work-around
“Why is the server always busy on DeepSeek?”
DeepSeek’s free tier throttles when active users exceed ~2 million concurrent sessions. A wave of malicious bot sign-ups in January forced rate limits; the team has since capped RPS per IP. A Chrome extension auto-retries the “Server busy” page—handy but unofficial.
Is DeepSeek down right now? Check status.deepseek.com or DownDetector before panicking.
Corporate & money matters
“Who is the CEO of DeepSeek?” — Liang Wenfeng, also co-founder of High-Flyer hedge fund.
“How does DeepSeek make money?” — Freemium API (sub-penny per 1k tokens) and enterprise licensing; BMW just inked an in-car voice deal.
“Can I buy DeepSeek stock?” — Not yet; still private, largely owned by High-Flyer. Analysts peg a $20–30 B valuation, but IPO chatter is early-stage.
“How rich is the founder?” — Estimates swing wildly from $1 B to $150 B because High-Flyer’s books are opaque. Treat any figure with skepticism.
“What does Nvidia say?” — Publicly, “competition validates demand”; privately, execs blame the selloff on “irrational fear.” Investors remain jumpy.
Myth-busting grab-bag
| Rumor | Reality |
|---|---|
| “Annihilate is banned because of DeepSeek.” | Wrong universe—Annihilate is a Pokémon banned in certain tournaments, nothing to do with LLMs. |
| “Chatrak is banned due to AI.” | Chatrak is a 2011 Indian film blocked for adult content. Zero overlap with DeepSeek. |
| “DeepSeek crashed the entire market.” | It triggered a tech-sector rout but broader indices recovered within 48 hours. |
| “Elon Musk tweeted that DeepSeek copies GPT-4.” | Musk joked “Open-Weight ≠ Open-Source” but offered no evidence of copying; it was a meme, not a lawsuit. |
China’s AI landscape: Where does DeepSeek sit?
Top five Chinese AI outfits to watch in 2025:
DeepSeek – open-weight rebel.
Zhipu AI – GLM family, prepping IPO.
Moonshot AI (Kimi) – 2-million-token context windows.
Baichuan AI – funded by Alibaba & Tencent.
01.AI – Kai-Fu Lee’s bilingual unicorn.
So…which is “better”—ChatGPT or DeepSeek?
If you need:
Stable uptime, third-party plug-in ecosystem, enterprise indemnity: go ChatGPT.
Free open weights for local tinkering, Chinese language edge, bargain-bin API: DeepSeek.
Privacy assurances under U.S./EU law: neither is perfect—self-host or pick an EU-hosted model.
Everything You Need to Know About DeepSeek: Myths, Realities, and What’s the Big Deal?
Ever wondered why everyone’s buzzing about DeepSeek? You’re not alone. Let’s dive into what makes DeepSeek such a hot topic and address some burning questions you’ve been curious about.
Why is DeepSeek Getting Banned?
As of now, there’s a lot of speculation around DeepSeek bans. Officially, it hasn’t faced wide-scale bans, but concerns arise because DeepSeek originates from China. Countries sensitive about data privacy, like Italy (which previously scrutinized AI tools such as ChatGPT), have questioned DeepSeek’s data management practices. However, no official nationwide ban specifically targeting DeepSeek has been enacted yet.
Is ChatGPT Better than DeepSeek?
Comparing ChatGPT to DeepSeek is like comparing Netflix to Disney+: they’re both powerful but cater differently. ChatGPT excels in general conversation and creativity, whereas DeepSeek specializes in open-source flexibility and technical precision, making it popular among developers and tech-savvy users.
Is DeepSeek Legal?
Absolutely! DeepSeek is completely legal to use. There are currently no international legal prohibitions specifically against DeepSeek.
Is it Illegal to Download from DeepSeek?
Downloading software from DeepSeek is legal. Just ensure you’re downloading official releases from reputable sources to avoid malware.
Is ChatGPT Banned in China?
Yes. China has restrictions on foreign-owned AI tools like ChatGPT due to concerns around data security and censorship.
Did Italy Ban DeepSeek?
No. Italy has expressed concerns about data security for AI tools generally but hasn’t specifically banned DeepSeek.
Who is the CEO of DeepSeek?
The CEO and founder of DeepSeek is Jia Yangqing, renowned for his earlier contributions to Facebook’s AI infrastructure.
Why is the Server Always Busy on DeepSeek?
Demand! DeepSeek offers powerful AI at low costs, attracting large user bases, often overwhelming its servers during peak times.
Why is Annihilate Banned?
“Annihilate” isn’t directly associated with DeepSeek. It might refer to a different AI tool or a specific controversial AI-generated content banned for ethical or legal reasons.
What’s the Problem with DeepSeek AI?
Critics highlight data privacy concerns due to its Chinese origin, and occasional server overloads can affect user experience.
Why is Chatrak Banned?
Chatrak isn’t associated with DeepSeek; this confusion likely comes from misinformation or incorrect associations online.
Which Country Banned AI?
No country has outright banned AI. However, various countries like Italy temporarily restricted specific AI platforms (like ChatGPT) over privacy concerns.
Is DeepSeek Down Right Now?
Check websites like Downdetector for real-time updates. Server overload is common due to its popularity.
Why is DeepSeek So Cheap?
DeepSeek’s affordability stems from its open-source model and funding support from tech giants aiming to popularize AI.
Is DeepSeek Smarter than ChatGPT?
“Smarter” depends on context. DeepSeek offers greater customization for developers; ChatGPT shines in general creative and interactive tasks.
Is it Safe to Install DeepSeek on iPhone?
DeepSeek apps verified through Apple’s App Store are safe. Avoid unofficial sources.
Is DeepSeek Detectable?
Yes, DeepSeek content can be detected by AI-detection software designed to identify AI-generated outputs.
Why Did DeepSeek Crash the Market?
DeepSeek hasn’t crashed any markets. Any such claim might be sensational misinformation.
What Did Elon Say About DeepSeek?
Elon Musk hasn’t specifically commented extensively about DeepSeek publicly. He is generally vocal about cautious AI development.
How Does DeepSeek Make Money?
DeepSeek primarily earns through premium API services, enterprise solutions, and partnership models.
Is DeepSeek a Chinese Company?
Yes. DeepSeek was founded in China by Jia Yangqing.
What’s Special About DeepSeek?
Its open-source model allows extensive community-driven improvements, making it extremely popular among developers.
Top 5 AI Companies in China?
Baidu
Alibaba Cloud
Tencent AI Lab
SenseTime
DeepSeek
Who Manufactures DeepSeek?
DeepSeek develops and maintains its own software, supported by tech partnerships including Nvidia for hardware infrastructure.
Nvidia’s Thoughts on DeepSeek?
Nvidia sees DeepSeek positively, as it promotes usage of Nvidia GPUs, essential for AI computations.
Who Owns ChatGPT?
OpenAI, co-founded by Elon Musk, Sam Altman, and others, owns ChatGPT.
Can You Buy DeepSeek Stock?
DeepSeek is privately held. Currently, there’s no public stock available for purchase.
Is DeepSeek Safer than ChatGPT?
Both platforms have robust security measures. DeepSeek’s safety hinges significantly on proper user-side practices and source authenticity.
Does DeepSeek Send Data to China?
DeepSeek maintains data centers globally but, as a Chinese company, faces scrutiny around data policies, prompting concerns.
Can You Anonymously Use DeepSeek?
Yes, using VPNs and anonymous browsing tools can enhance your privacy when using DeepSeek.
Is DeepSeek Better than Gemini?
DeepSeek excels in customization and open-source flexibility, whereas Google’s Gemini offers robust integration with Google’s ecosystem.
What’s Going on with DeepSeek?
DeepSeek continues rapid growth, focusing on global outreach and community-driven development. It frequently updates its tech stack to improve AI capabilities.
Is DeepSeek Free or Paid?
DeepSeek offers a generous free tier, with premium tiers for heavy users or enterprises needing advanced features.
With this detailed breakdown, you’re now well-equipped to navigate the fascinating landscape of DeepSeek AI!
