Chinese AI startup DeepSeek has temporarily suspended new user registrations following a major cyberattack on its services. The company assured that existing users could still log in and expressed appreciation for their support during the disruption.
Founded in late 2023 by hedge fund manager Liang Wenfeng, DeepSeek has quickly become a prominent player in the AI industry, developing advanced models like DeepSeek-V3 and DeepSeek-R1. These models compete with global AI leaders while being more cost-effective. For example, training DeepSeek-V3 required around $6 million in computing power using Nvidia’s H800 chips. This efficiency has helped DeepSeek’s AI Assistant surpass ChatGPT in popularity on the U.S. App Store.
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Cyberattack and Market Impact
The cyberattack led to service disruptions, including login failures and temporary outages. By 20:55 UTC+8 on January 27, the chat service was restored, but some account services remained inaccessible, preventing new user sign-ups.
DeepSeek’s rapid growth has significantly impacted global financial markets. Its advancements have led to a reassessment of U.S. AI dominance and the effectiveness of AI chip export controls. Following DeepSeek’s recent success, major U.S. tech firms such as Nvidia, Microsoft, and Alphabet suffered massive market losses, with nearly $1.2 trillion wiped off the stock market.
The company stated that it continues to monitor the situation and will provide updates as necessary.
