Kevin O'Leary sounds the alarm on DeepSeek, says, 'The Chinese startup is a state-sponsored trojan horse that ripped off 50 or 60,000 Nvidia chips from the black market'

Kevin O'Leary, the well-known Shark Tank investor, has raised his concerns about DeepSeek, a Chinese AI startup that has gained massive attention.

O'Leary accused DeepSeek of being a “state-sponsored Trojan horse,” alleging that the company illegally sourced up to 60,000 Nvidia chips from the black market to power its cutting-edge AI model- R1, reported Benzinga.

He outright rejected DeepSeek’s claims about creating the AI with just $6 million and outdated hardware. O'Leary said “I call BS on that,” as per the report.


O'Leary claimed that DeepSeek's AI assistant could be a data-scraping tool, comparing it to TikTok and other Chinese-owned apps. According to him, these apps are designed to collect mass user data. He also warned on social media that the United States and China are engaged in an economic war.

Experts and lawmakers question whether DeepSeek had access to restricted Nvidia chips, despite US sanctions meant to limit China’s access to advanced technology. This has led US officials to investigate, while lawmakers are urging stronger export restrictions on the chips DeepSeek may have used.

Microsoft is investigating whether DeepSeek improperly accessed OpenAI data, reported Benzinga.

DeepSeek’s abrupt growth has had a significant financial impact, with Nvidia’s market value dropping by around $600 billion, as per reports.

FAQs

Who is Kevin O'Leary?
Kevin O'Leary is a well-known Canadian entrepreneur, investor, and television personality. He gained fame as one of the star investors on the TV show Shark Tank, where he’s known for his no-nonsense attitude and sharp business insights. O'Leary has built a successful career, founding O'Leary Funds, a financial services company, and has also been outspoken on various issues, particularly when it comes to investments and economic matters.

What exactly is DeepSeek, and why is it causing such a stir?
DeepSeek is a Chinese AI startup that has gained significant attention for its AI assistant, which recently became the most downloaded free app on Apple’s App Store. The startup's rapid growth has raised questions about how it’s achieving such high performance at a low cost, as per reports. Some experts believe DeepSeek may have used restricted Nvidia chips, which could lead to serious security and data concerns.