DeepSeek
DeepSeek is a Chinese AI company founded in 2023 with the aim of developing advanced models and accelerating the path towards artificial intelligence (AI). Their latest model, DeepSeek-R1, unveiled in early 2025, has garnered a lot of attention due to its exceptional efficiency and low training cost of just $6 million, while achieving results comparable to OpenAI’s GPT-4o. The key to its strength lies in its innovative mixture of experts (MoE) architecture, which allows the model to dynamically select specialized neural components to process each task, rather than activating the entire network. In addition, DeepSeek-R1 excels in mathematical reasoning and programming, where it uses the chain-of-thought reasoning method for improved logical reasoning. Unlike most competing AI models, DeepSeek promotes an open-source approach, allowing developers and organizations to freely use and customize its models. Its growth has shaken up the AI industry, and even the launch of DeepSeek-R1 caused a historic drop in Nvidia’s market value of $589 billion in a single day.
Source: cointelegraph
ChatGPT
ChatGPT is a generative AI chatbot developed by OpenAI and launched in 2022. years. Based on the GPT-4o language model, it allows users to communicate naturally and fluidly, customizing the style, length, and language of responses. In addition to advanced understanding and natural language generation, ChatGPT stands out for its multimodal integration, which means that in addition to text, it can process and generate images and voice responses. Also, it supports advanced data analysis, allowing users to upload documents to summarize or extract key information. A big advantage of ChatGPT is also support for external plugins, including web search tools, code interpretation, and integration with platforms such as Expedia, OpenTable, and Slack. Its development required a huge financial investment – estimates suggest that it cost between $41 million and $78 million to train the GPT-4 model alone, highlighting OpenAI’s resource advantage compared to many competitors.
Source: cointelegraph
DeepSeek vs. ChatGPT: Artificial Intelligence Performance Analysis
When comparing DeepSeek R1 and ChatGPT-4o, key factors include accuracy, efficiency, and adaptability. DeepSeek R1 excels at structured reasoning, especially in math and coding, achieving 90% accuracy in solving math problems, while ChatGPT-4o scores 83% on advanced STEM tests. In programming, DeepSeek R1 has a 97% success rate in logic tasks, while ChatGPT-4o excels at multi-step reasoning and general knowledge processing, with an 89th percentile on Codeforces, making it a powerful tool for developers.
In terms of efficiency, the DeepSeek R1 uses the MoE (Mixture of Experts) architecture, which allows it to activate only 37 billion parameters per query, despite having 671 billion of them. In contrast, ChatGPT-4o uses a monolithic structure of 1.8 trillion parameters, which increases resource requirements. DeepSeek R1 training lasted 55 days and cost $5.5 million, while ChatGPT-4o required over $100 million, making DeepSeek a more affordable solution for businesses.
In terms of scalability, ChatGPT-4o outperforms DeepSeek R1 with a contextual window of 200,000 tokens, while DeepSeek supports 128,000 tokens, limiting its ability to work with long documents. Additionally, ChatGPT-4o is multimodal and supports text, voice, and images, while DeepSeek R1 is a text-only model, which reduces its versatility in AI applications that include visual and audio data.
Source: cointelegraph
Concern for privacy and data security
Both platforms face challenges related to data privacy and security, but DeepSeek is under greater scrutiny due to its connection to China. DeepSeek stores user data on servers in China, which has raised concerns, especially in the United States, where experts warn of potential access to the data by the Chinese government – similar to the TikTok controversy. Its privacy policy also reveals that it collects a wide range of user data, including text and voice inputs, uploaded files, and conversation history, which has prompted warnings against sharing sensitive information on the platform.
On the other hand, ChatGPT also collects user data, including personal information and usage details, but OpenAI has implemented data protection measures. Nevertheless, security risks still exist – for example, between June 2022 and May 2023, around 100,000 ChatGPT user accounts were compromised and sold on the dark web, which pointed to vulnerabilities in data protection.
Source: cointelegraph
Regulatory Compliance
Ethnic and ethical concerns about AI language models include bias, misinformation, and censorship. It is noticeable that DeepSeek censors discussions on topics that the Chinese government considers sensitive, such as protests and human rights issues in China. Similar reviews are not limited to DeepSeek; ChatGPT also faces condemnation for generating biased or discriminatory content and occasionally produces harmful or misleading information. These issues stem from the bias contained in the training data, further highlighting the challenges in ensuring ethically acceptable AI outputs. While OpenAI recognizes these concerns and is working on strategies to mitigate them, problems still persist.
Source: cointelegraph
Choosing between DeepSeek and ChatGPT
DeepSeek has proven that AI models can be efficient, affordable, and competitive, even without the enormous financial and computing resources that OpenAI or Google have. However, ChatGPT still has an edge in certain areas, so the choice between these two models depends on the specific needs of the user.
When to choose DeepSeek R1?
Affordable AI Solutions – Suitable for businesses looking for high-performance AI at lower operating costs.
Technical and STEM tasks – Ideal for complex coding, debugging, and logical problem solving.
Customizable and open-source – Allows organizations to modify the model according to their own needs.
When to choose ChatGPT-4o?
Multimodal functionality – The best choice for tasks involving text, voice, and images.
Customer support and wide application – Great for chatbots, document processing, and general communication.
Long-Term Context – Supports longer conversations and complex memory tasks.
This growing competition in the AI industry favors innovation, lowering costs and increased availability, preventing monopolies from dictating the development and prices of artificial intelligence, so we can conclude that competition favors users, who will obviously gain access to better and cheaper AI models.
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