Tech war of a new kind: After rattling Silicon Valley titans, Deep Seek triggers a wave of AI deployments across China's hi-tech manufacturing sector; here's what they are doing

DeepSeek, a Hangzhou-based AI start-up, is leading a new wave of artificial intelligence (AI) deployments across China’s hi-tech manufacturing sector, impacting personal computers, robots, and electric vehicles (EVs). This move comes as China seeks to strengthen its technological capabilities amid US sanctions, with major enterprises like Lenovo Group, UBTech, and Geely adopting DeepSeek's AI models to enhance their products.

How are DeepSeek's AI models changing AI deployment?

DeepSeek recently launched two high-performance AI models, DeepSeek-V3 and DeepSeek-R1, which deliver advanced AI capabilities at significantly lower costs and computing power than their Western counterparts. These models have gained traction among leading Chinese companies looking to integrate AI into their products and services.

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How is Lenovo integrating DeepSeek AI into its PCs?

PC giant Lenovo has incorporated DeepSeek's model into its Xiaotian AI assistant, enhancing its capabilities in text understanding, code generation, mathematics, and reasoning. Xiaotian, introduced last year, automates tasks such as document summarization, translation, and meeting transcription. Lenovo plans to expand this AI integration into tablets, smartphones, and other devices. According to state-owned Securities Times, the company is considering deeper collaboration with DeepSeek.

In a related development, Lenovo’s recently published 2025 CIO Playbook highlighted that proving AI’s return on investment remains a key challenge for organizations. The report noted that 37% of management executives were skeptical about AI, despite 90% of IT professionals stating that AI met their expectations.

How are UBTech and Geely leveraging DeepSeek AI?

Shenzhen-based robotics firm UBTech, China's largest humanoid robot maker, is testing DeepSeek's AI models for real-world applications. These tests focus on improving robots’ ability to understand complex instructions and perform tasks in factory environments.

Meanwhile, EV manufacturer Geely is integrating DeepSeek’s R1 reasoning model into its Xinrui AI system. This initiative aims to create an in-vehicle AI capable of predicting and responding to motorists’ needs, improving the overall driving experience.

Where else is DeepSeek AI being used: From Ed-tech to Pharmaceuticals

Beyond hardware manufacturers, DeepSeek’s AI technology is being embraced in other sectors. Online education platform Youdao, a subsidiary of Chinese gaming giant NetEase, has announced plans to integrate DeepSeek-R1 to enhance AI-based learning tools. Additionally, Jiangsu Hengrui Pharmaceuticals, a Shanghai-listed firm, has informed investors of its decision to comprehensively implement DeepSeek AI in its operations.

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Why DeepSeek’s AI models are gaining popularity

Cost Efficiency – DeepSeek’s models require significantly less computing power, making them accessible to a broader range of businesses.

Open-Source Advantage – The company’s open-source approach allows third-party developers to modify and expand AI capabilities.

China’s Need for AI Independence – Amid increasing US sanctions, China is prioritizing domestic AI development to reduce reliance on foreign technology.

Enterprise Adoption – Major firms like Lenovo, UBTech, and Geely are actively integrating DeepSeek AI, proving its effectiveness.

Sector-Wide Impact – From robotics to EVs and pharmaceuticals, DeepSeek’s AI is influencing multiple industries.

FAQs:

Which companies use DeepSeek AI?
Lenovo, UBTech, Geely, and others are integrating DeepSeek AI into their products.

Why is DeepSeek AI important?
It offers advanced AI capabilities at lower costs, helping China reduce reliance on foreign tech.