DeepSeek R2 Delayed as China Pushes for Huawei AI Chips over Nvidia

DeepSeek’s new AI model, DeepSeek R2, has been delayed, reportedly because the company is being pressured to use Huawei’s Ascend chips instead of Nvidia‘s GPUs. Originally expected in May, the model’s release is now rumored for September, but technical issues with the domestic chips could cause further delays.

The Challenge of Switching Chips

According to reports from The Financial Times, the Chinese government urged DeepSeek to use Huawei’s Ascend chips instead of Nvidia’s H20 GPUs. While DeepSeek complied, the transition has led to significant performance issues during the AI model’s training process.

• Performance Gap: While Huawei’s Ascend chips have emerged as a serious competitor, they do not yet offer the same level of reliable performance as Nvidia’s chips, particularly for intensive training tasks.
• Huawei’s Response: Huawei has reportedly sent a team of engineers to assist DeepSeek in resolving the issues, but a successful training run could not be completed.

Political and Security Concerns

This push for domestic chips is not just about a single company; it reflects a broader strategy by the Chinese government. The Cyberspace Administration of China has raised concerns about a potential “kill switch” in Nvidia’s H20 chips, a mechanism that could allow them to be remotely disabled. This has prompted the government to encourage Chinese tech companies to avoid Nvidia’s hardware, making the success of Huawei’s chips a critical national priority.

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