Cost of 1GB Data Varies Widely Across 6 African Countries
New data reveals significant disparities in mobile data prices across Africa, with South Africa leading at $1.77/GB and Nigeria at $0.38/GB.
Starfolk
DeepSeek, one of the hottest AI startups in the world, has been making waves in the tech industry with its latest model. However, unlike its counterparts, the company's founder Liang Wenfeng is in no hurry to secure investment from outsiders, according to a report by the Wall Street Journal.
DeepSeek's unique approach to funding has raised eyebrows in the industry. Unlike most startups, which require outside capital and are thus open to external influence, DeepSeek is essentially a one-man show, with Liang owning 84% of the company through his hedge fund, High-Flyer. The remaining 16% is owned by individuals affiliated with High-Flyer. This level of control is unprecedented in the startup world, where venture capitalists often hold significant sway over a company's direction.
Liang's reluctance to accept outside investment stems from his desire to maintain control over the company's vision and direction. In a 2023 interview with Chinese media, Liang expressed his frustration with venture capitalists' focus on rapidly monetizing AI, rather than investing in fundamental research. This approach is at odds with Liang's own vision for DeepSeek, which prioritizes research and development over short-term profits.
DeepSeek's ability to self-fund has been made possible through High-Flyer's profits, reducing the need for outside investment. Liang has stated that "money has never been the problem for us; bans on shipments of advanced chips are the problem," highlighting the company's reliance on restricted AI chips. However, this approach may not be sustainable in the long term, as DeepSeek faces increasing competition from other AI heavyweights.
Another concern for DeepSeek is the potential impact of outside investment on trust and privacy concerns. As a Chinese company, DeepSeek operates under strict Chinese laws that grant the government broad data access. This has led to bans from several governments and private companies, which could worsen if DeepSeek accepts funding from a Chinese investor. The U.S. government has a history of sanctioning Chinese tech companies it deems too close to the Chinese government, such as Huawei and DJI.
Despite these challenges, DeepSeek may eventually need to consider outside investment to stay competitive. The company's recent announcement of a theoretical profit margin signals a shift towards monetization, which could attract venture capitalists. Additionally, DeepSeek's need for advanced AI chips, which are heavily restricted in China due to U.S. export controls, may require outside funding. The company's ability to self-fund is also under threat, as High-Flyer's flagship funds have underperformed since 2022, and the Chinese government has been cracking down on quant funds like High-Flyer since 2024.
Several prominent investors, including Tencent and Alibaba, have already expressed interest in DeepSeek. However, the company has yet to respond to requests for comment on its future plans. As the AI landscape continues to evolve, DeepSeek's decision to resist outside investment will be closely watched by industry observers and investors alike.
In conclusion, DeepSeek's unique approach to funding and control raises important questions about the role of venture capitalists in the tech industry. As the company navigates the complex landscape of AI development, its ability to maintain independence and prioritize research over profits will be crucial to its long-term success.
New data reveals significant disparities in mobile data prices across Africa, with South Africa leading at $1.77/GB and Nigeria at $0.38/GB.
Texas Attorney General Ken Paxton files lawsuit against Dr. Margaret Daley Carpenter, alleging violation of state's strict abortion law, sparking legal battle over telemedicine and 'shield law' protections.
A new report highlights deeptech's potential to drive Europe's security, defense, and autonomy, despite challenges and reliance on US investments.
Copyright © 2024 Starfolk. All rights reserved.