We have no reason to believe China is telling the truth
We literally tried to cripple them by making it illegal to sell them the best chips. But one thing I know is that China is very good at getting their hands on things they’re not supposed to get. And secondly, if we try to cripple China, then China will try to cripple us. I think that Deepseek relies heavily on illegal chips that they obviously can’t or won’t talk about. I do think Deepseek did find some new breakthroughs and that credit goes to the Chinese for refusing to be left behind on AI. But they’re exaggerating how miraculous it really is, and they’re doing it to screw with our stock market and to show that China is number one, not the US. The future is AI which means China very much wants to be ahead of the US on AI. In reality I think they’re just keeping pace but making it seem like they’re ahead in order to retaliate against us for trying to push them behind.