DeepSeek disrupts Malaysia’s, Southeast Asia’s data centre dreams amid investment ‘rethink’

Quick Summary:

Experts warn DeepSeek’s success could lead to a shift in AI development, potentially reducing demand for expensive data centres and affecting investments in the region.

Reportedly using fewer chips from Nvidia competitor AMD, DeepSeek has brought into question the big bets made by Southeast Asian nations on lucrative – albeit resource-intensive – data centre investments.“It is still too early to say how DeepSeek will change the entire ecosystem, but what it has done is it has definitely forced investors to rethink their investments in AI,” said Adib Zalkapli, managing director of Viewfinder Global Affairs, a geopolitical and public policy advisory firm.“We can expect more similar competitions and disruptions in [the] future.

Stocks in Nvidia – maker of the leading chips used to train AI models – were the worst hit as investors were concerned at the disparity in development costs between DeepSeek and its biggest competitors – Microsoft-backed OpenAI, and Google’s Gemini.

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Article Details

Author / Journalist: Joseph Sipalan

Category: Technology

Markets: Hong KongMalaysia

Topics: Investors Nvidia Development Deepseek Data Southeast Investments Giants Stocks Chips Tech

Source Website Secure: Yes (HTTPS)

News Sentiment: Negative

Fact Checked: Legitimate

Article Type: News Report

Published On: 2025-01-28 @ 18:15:06 (1 days ago)

News Timezone: GMT +8:00

News Source URL: scmp.com

Language: English

Article Length: 213 words

Reading Time: 2 minutes read

Sentences: 4 lines

Sentence Length: 54 words per sentence (average)

Platforms: Desktop Web, Mobile Web, iOS App, Android App

Copyright Owner: © SCMP

News ID: 25571681

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