DeepSeek slashes AI model prices 75% to challenge U.S. competitors
DeepSeek, a Chinese AI firm, has revealed a significant price drop of 75% on its latest AI model, valid until May 5. This reduction builds on an earlier cut that slashes cache prices to just one-tenth of their previous rates. This bold pricing approach is designed to challenge U.S. competitors in the fiercely competitive AI sector. The announcement comes on the heels of the introduction of DeepSeek's V4 model, noted for its impressive performance and affordability. The company is actively broadening its footprint in the international AI arena, using these lower prices to draw in more clients.
Key facts
- DeepSeek is cutting prices by 75% on its newest AI model.
- The promotional discount runs through May 5.
- A separate cut reduces cache pricing to one-tenth of prior levels.
- The price cuts aim to pressure U.S. rivals.
- DeepSeek's V4 model is the subject of the discount.
- The company is based in China.
- The move is part of a broader strategy to gain market share.
- The discount is temporary, ending on May 5.
Entities
Institutions
- DeepSeek
- Nvidia
- South China Morning Post
Locations
- China
- Hangzhou
- United States
Sources
- Quartz —
- SCMP Lifestyle —