China’s AI chatbot DeepSeek beats ChatGPT in Apple App Store downloads

Chinese AI assistant DeepSeek has surged to the top of the U.S. Apple App Store, overtaking OpenAI’s ChatGPT as the most downloaded app.

According to app analytics from Apple on 27 January, DeepSeek has quickly gained traction, becoming the most popular free application in the United States after its release on 10 January. 

Powered by the DeepSeek-V3 model, the app outshines open-source models and rivals the most advanced closed-source models globally.

Challenging traditional views on AI growth

In addition to its remarkable ranking, DeepSeek is challenging the current assumption that AI’s growth will be powered by growing demand for advanced chips and massive data centers.

The startup’s free assistant uses lower-cost chips and requires less data, marking a stark contrast to the huge infrastructure investments normally linked to AI advancements.

This milestone has sent shockwaves through Silicon Valley, raising doubts about the U.S.’s continued AI dominance.

DeepSeek has trained its models with Nvidia’s H800 chips, costing less than $6 million. To put into perspective, this amount is considerably lower than the reported costs of training ChatGPT, which was around $100 million.

The chips were initially designed as a workaround for restrictions but have since encountered more strict sanctions.

By bypassing high-end chips, DeepSeek has sparked debate about the future of global AI development, compelling U.S. tech executives to reconsider the effectiveness of the current export bans.

The startup’s success shows that innovation in AI can still flourish despite restrictions, challenging the U.S.’s dominance in the global tech sector.

Despite its sudden rise, much remains unknown about the startup, which has quickly become a symbol of China’s growing expertise in artificial intelligence.

While other Chinese firms have introduced large-scale AI models, DeepSeek is among the few that have successfully broken into the U.S. market.

Its rise in popularity will prompt a response from U.S. tech leaders, and the White House which more proactive to AI under the Donald Trump administration.