DeepSeek, a Chinese artificial intelligence company, has delayed the launch of its new AI model after failing to successfully train it using Huawei’s chips, according to a Financial Times report. This setback highlights the ongoing challenges facing China’s efforts to reduce dependence on U.S. technology amid ongoing trade restrictions.
The big picture: China’s push for technological self-sufficiency is encountering significant technical hurdles as domestic chip alternatives struggle to match the performance of banned U.S. semiconductors.
Why this matters: The delay underscores the complex reality of replacing advanced U.S. technology infrastructure, particularly in AI development where computational power is critical for training sophisticated models.
Key details: DeepSeek was unable to complete the training process for its latest model using Huawei’s domestically produced chips.
- The failure represents a concrete example of the limitations facing Chinese companies as they attempt to work around U.S. export restrictions.
- Huawei has been developing its own chip technology as an alternative to U.S. suppliers following trade sanctions.
What this reveals: The incident demonstrates that China’s semiconductor substitution strategy still faces significant technical gaps, particularly for demanding applications like AI model training that require substantial computational resources.
Recent Stories
DOE fusion roadmap targets 2030s commercial deployment as AI drives $9B investment
The Department of Energy has released a new roadmap targeting commercial-scale fusion power deployment by the mid-2030s, though the plan lacks specific funding commitments and relies on scientific breakthroughs that have eluded researchers for decades. The strategy emphasizes public-private partnerships and positions AI as both a research tool and motivation for developing fusion energy to meet data centers' growing electricity demands. The big picture: The DOE's roadmap aims to "deliver the public infrastructure that supports the fusion private sector scale up in the 2030s," but acknowledges it cannot commit to specific funding levels and remains subject to Congressional appropriations. Why...
Oct 17, 2025Tying it all together: Credo’s purple cables power the $4B AI data center boom
Credo, a Silicon Valley semiconductor company specializing in data center cables and chips, has seen its stock price more than double this year to $143.61, following a 245% surge in 2024. The company's signature purple cables, which cost between $300-$500 each, have become essential infrastructure for AI data centers, positioning Credo to capitalize on the trillion-dollar AI infrastructure expansion as hyperscalers like Amazon, Microsoft, and Elon Musk's xAI rapidly build out massive computing facilities. What you should know: Credo's active electrical cables (AECs) are becoming indispensable for connecting the massive GPU clusters required for AI training and inference. The company...
Oct 17, 2025Vatican launches Latin American AI network for human development
The Vatican hosted a two-day conference bringing together 50 global experts to explore how artificial intelligence can advance peace, social justice, and human development. The event launched the Latin American AI Network for Integral Human Development and established principles for ethical AI governance that prioritize human dignity over technological advancement. What you should know: The Pontifical Academy of Social Sciences, the Vatican's research body for social issues, organized the "Digital Rerum Novarum" conference on October 16-17, combining academic research with practical AI applications. Participants included leading experts from MIT, Microsoft, Columbia University, the UN, and major European institutions. The conference...