Chip maker AMD (AMD) is falling 6.5% today after a Chinese startup, DeepSeek, reportedly developed top-notch AI models using outdated semiconductors. AMD’s top and bottom lines have been meaningfully boosted by demand for the AI chips that it develops. A Look at DeepSeek’s AI Models DeepSeek’s products appear to be at least as proficient as OpenAI’s ChatGPT and Meta’s (META) AI offering, even though DeepSeek’s systems were built using much older, cheaper chips. Specifically, the Chinese firm reportedly utilized about 50,000 of Nvidia’s (NVDA) H100 AI GPUs and spent less than $6 million in order to create its AI models.
Why AMD Is Losing Ground Today
