Source: Deepseek - Photo: 2025

China: Innovation Out of Necessity

BERLIN | 1 February 2025 (IDN) — The success of Deepseek shows one thing as clearly as it is impressive: Technological innovation is not only a question of capital and computing power, but also of creativity and pragmatism. The shortage of Western chips has forced Deepseek to adopt alternative strategies in the first place. “Innovation often arises from the need to work with limited resources,” says Hong Kong-based tech journalist Karen Hao in an interview with China.Table. The result in the case of Deepseek is an innovation out of necessity—efficient, cost-effective and successful.

However, Deepseek also embodies a change in China’s tech industry. Thanks to massive investments in education and research, there is more and more talent in their own country—and Chinese researchers in particular are seeking their fortune less and less in the USA and Europe, as they are increasingly distrusted in the current political climate there. The consequences are far-reaching: The Western tech industry is under pressure to act, as is the US government, which has launched its most expensive technology project to date with Stargate (500 billion US dollars for AI infrastructure).

Whether Deepseek will remain an isolated case or herald the beginning of a new AI age remains to be seen. One thing is certain: The Western idea that AI development can only progress through ever larger data centres and data volumes has come under pressure with this success. Deepseek is also a wake-up call for Europe and Germany, says Feiyu Xu, renowned AI expert and former head of SAP’s AI research center, in an interview with China.Table: “The train has never left. Maybe we need to lay new rails and build better trains. Germany has proven this ability in the past—we should have the ambition to get back to the top in certain industries.” [IDN-InDepthNews]

Source: China.Table

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