TL;DR
Google DeepMind’s CEO calls China’s Deepseek AI “overhyped” while praising its engineering. This isn’t about tech—it’s a geopolitical power play, with investors caught in the middle.
Story
The CEO of Google DeepMind, Demis Hassabis, downplayed the Deepseek AI model as “overhyped” despite calling it the “best work” from China. So, what’s the real story?
It boils down to this: geopolitical theater. Hassabis acknowledges Deepseek’s impressive engineering but dismisses any “scientific advancement.” This is like saying a perfectly crafted counterfeit isn’t innovative—it’s technically brilliant, but ultimately deceptive.
The hype isn’t about algorithms; it’s about power. Deepseek signals China’s AI prowess, challenging the West’s perceived dominance. This rattles investors, sparking fears of a tech cold war.
‣ Tech Cold War: A competition between countries for technological superiority.
Just like the 2008 crisis, complexity breeds opacity. Investors, blinded by the AI buzz, miss the underlying truth: technology, however advanced, cannot suspend the laws of economics. Hype cycles inflate, then burst, leaving devastation in their wake. Deepseek is not Enron, but the euphoria around it echoes past bubbles.
‣ Enron: A company whose fraudulent accounting led to a massive collapse in 2001.
The human impact? Expect market volatility as investors scramble to recalibrate their China bets. AI researchers, caught in the crossfire, face pressure to deliver miracles. Meanwhile, everyday folks, bombarded with AI prophecies, may fall prey to future scams dressed as innovation.
Don’t be fooled. Deepseek is a milestone, but it’s not magic. This is a high-stakes game of perception, not technological revolution.
Advice
Don’t invest based on hype. Look past the buzzwords—what problem does this AI actually solve? If you can’t answer, walk away.