Is DeepSeek the worst nightmare for VCs? Venture investors are rattled, but some see a silver lining.

Is DeepSeek the worst nightmare for VCs? Venture investors are rattled, but some see a silver lining.

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Venture investors have been pouring billions of dollars into large AI model providers such as OpenAI and Anthropic to create an impenetrable moat around the building blocks of generative artificial intelligence. Those assumptions are being tested by DeepSeek, a Chinese startup that says it developed powerful AI models more cheaply than US rivals.

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