What happened
DeepSeek’s R1 reasoning model shocked the industry, and the trend accelerates. Chinese open-source models are now weeks behind Western frontier capabilities, and Silicon Valley companies are quietly building on top of them.
Reported by MIT Technology Review. Our analysis is below.
The EMOR AI take
Open-source models getting better means our cost to build and deploy AI-powered systems keeps dropping, while capabilities keep rising. The economics of AI infrastructure ownership improve every quarter.
Strong open-source models give builders a low-cost option to route routine work to, which keeps your deployment economics improving each quarter. The owner-side benefit is more capability per dollar without being locked to one vendor’s price list. Ask whether your systems can use the most cost-effective model for each task.
What this means for your business
- Lower deployment costs using improving open-source models
- Gain more capability per dollar each quarter
- Route routine work to the cheapest capable model
Read the original report
MIT Technology Review
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