Sam Altman made a shocking admission yesterday, referring to his OpenAI company as being on the wrong side of history. This is regarding the subject of open-source AI. The news is awfully interesting as it proves a major shift in terms of strategy.
Competition from China continues to heat up and so many open models are being launched with incredible capabilities and at a fraction of the cost. The very candid session opened many people’s eyes in terms of DeepSeek rattling the global markets of today with the new R1 model. It is believed to be offering great performance and promising results, allowing users to shift focus from the ChatGPT makers and move on to better alternatives.
Altman did share how he personally feels the company might be on the wrong side of history and therefore needs to think of a different open-source strategy. Remember, not all share the same views as Altman, and right now, this is definitely his company’s top priority at the moment.
The statement is a representation of a major leap from the proprietary approach taken up in recent times. This drew serious backlash from many AI experts and ex-allies including SpaceX CEO Elon Musk. The latter is suing the firm for trying to betray the real open-source mission.
Altman’s comments on this matter come at a time when the market is experiencing serious turmoil thanks to DeepSeek. Using just $5B in training, it saw many tech giant stocks going down including Nvidia. To be more exact, a whopping $600 billion worth of market value was instantly wiped out which is a major drop for any firm working in the US.
As per the organization, it would seek to produce better models but does feel the lead would be far less than what it had in the past thanks to the breakthrough impact of DeepSeek. Right now, Altman feels the company’s closed strategy is more flawed than anything else.
The success of DeepSeek gives rise to a major shift in AI dynamics. The fact that it could give rise to startling results with just 2000 Nvidia H800 GPUs is remarkable. On average, 10,000 chips and more are used by most leading AI labs. Hence, the results do imply that innovation in algorithms and optimizing architecture could mean more than just raw computing power.
Furthermore, such a revelation threatens not only the firm’s tech strategy but the complete business model designed for exclusive access to huge computational resources.
The debate has to do with innovation versus the security of open-source models. The matter keeps getting intensified with time with many firms storing user data on different servers across China. This means government officials have full access. We’ve already seen lawmakers in the US speak about restrictions on this move and NASA is the latest to block the app, linking major privacy violations.
Image: DIW-Aigen
Read next: OpenAI’s o3-Mini Debuts with Enhanced Reasoning, Challenging DeepSeek R1
Competition from China continues to heat up and so many open models are being launched with incredible capabilities and at a fraction of the cost. The very candid session opened many people’s eyes in terms of DeepSeek rattling the global markets of today with the new R1 model. It is believed to be offering great performance and promising results, allowing users to shift focus from the ChatGPT makers and move on to better alternatives.
Altman did share how he personally feels the company might be on the wrong side of history and therefore needs to think of a different open-source strategy. Remember, not all share the same views as Altman, and right now, this is definitely his company’s top priority at the moment.
The statement is a representation of a major leap from the proprietary approach taken up in recent times. This drew serious backlash from many AI experts and ex-allies including SpaceX CEO Elon Musk. The latter is suing the firm for trying to betray the real open-source mission.
Altman’s comments on this matter come at a time when the market is experiencing serious turmoil thanks to DeepSeek. Using just $5B in training, it saw many tech giant stocks going down including Nvidia. To be more exact, a whopping $600 billion worth of market value was instantly wiped out which is a major drop for any firm working in the US.
As per the organization, it would seek to produce better models but does feel the lead would be far less than what it had in the past thanks to the breakthrough impact of DeepSeek. Right now, Altman feels the company’s closed strategy is more flawed than anything else.
The success of DeepSeek gives rise to a major shift in AI dynamics. The fact that it could give rise to startling results with just 2000 Nvidia H800 GPUs is remarkable. On average, 10,000 chips and more are used by most leading AI labs. Hence, the results do imply that innovation in algorithms and optimizing architecture could mean more than just raw computing power.
Furthermore, such a revelation threatens not only the firm’s tech strategy but the complete business model designed for exclusive access to huge computational resources.
The debate has to do with innovation versus the security of open-source models. The matter keeps getting intensified with time with many firms storing user data on different servers across China. This means government officials have full access. We’ve already seen lawmakers in the US speak about restrictions on this move and NASA is the latest to block the app, linking major privacy violations.
Read next: OpenAI’s o3-Mini Debuts with Enhanced Reasoning, Challenging DeepSeek R1
