Trump Admin. sounds alarm as Chinese AI DeepSeek dominates US App Store
Trump Warns China's Low-Cost AI Development Could Spur US Firms to Innovate
WASHINGTON – Chinese low cost AI app DeepSeek sparked frenzy in global tech industry and now White House is sounding alarm about the security risks of AI model, which gained significant traction in the US, being one of most downloaded apps on Apple’s App Store.
DeepSeek’s latest AI models are said to be the leading challenge for Amercian tech giants, causing concerns in Silicon Valley and Wall Street. DeepSeek’s frenzy dented Nvidia’s stock, as it suggests fewer advanced chips are needed for AI development. While the national security implications are unclear, Leavitt criticized the former administration’s handling of China’s AI rise, while DeepSeek’s ability to develop its technology with fewer resources than American companies raises questions about the effectiveness of current US tech restrictions on Beijing.
White House secretary Karoline Leavitt said they are looking potential national security implications of Chinese app. White House termed situation as a wake-up call for the AI industry.
DeepSeek also led to global market shifts, with investors selling off technology stocks on concerns that China’s advancements in AI could disrupt U.S. leadership in the sector.
Trump said that China’s ability to develop low-cost AI could push US firms to follow suit and create better solutions, potentially reducing development costs.
The situation is latest in tensions between Washington and Beijing over future of AI, as both nations vie for technological supremacy. US officials are expected to continue scrutinizing DeepSeek’s impact on national security and the global AI market in the coming weeks.
